Tuesday Midday Livestock Market Update - Contracts Continue to Scale Lower

GENERAL COMMENTS:

Tuesday's market has been rather uneventful for the livestock complex as most of the contracts are trading lower as trades simply don't believe that there's enough fundamental support in the marketplace to do anything different. Still no cash cattle trade has developed and both bids and asking prices remain elusive. December corn is down 4 1/4 cents per bushel and December soybean meal is down $2.10. The Dow Jones Industrial Average is down 270.94 points and the NASDAQ is up 229.71 points.

LIVE CATTLE:

It's another day of sitting around, waiting and hoping that fundamental support will arise in the market, but still traders remain hesitant to be overly supportive of the contracts in the meantime. December live cattle are down $0.60 at $219.10, February live cattle are down $1.12 at $222.55 and April live cattle are down $1.65 at $224.50. And while yes midday boxed beef prices are higher, traders are hoping to see added fundamental support from the fed cash cattle market -- which may or may develop later this week. No cash cattle trade has developed yet and both bids and asking prices remain elusive at this point. Trade will likely be delayed until Thursday or Friday again this week.

Boxed beef prices are higher: choice up $1.24 ($366.28) and select up $3.83 ($358.77) with a movement of 65 loads (49.88 loads of choice, 6.03 loads of select, zero loads of trim and 9.08 loads of ground beef).

FEEDER CATTLE:

The feeder cattle complex is also trading lower now as it's unwilling to move its market in the opposite direction of the live cattle market. November feeders are down $3.25 at $335.17, January feeders are down $3.97 at $328.70 and March feeders are down $3.72 at $324.57. And until the live cattle market finds enough fundamental support and turns higher, the feeder cattle complex will likely continue to trade lower as well.

LEAN HOGS:

The lean hog complex is trading lower into Tuesday's noon hour as well as even though midday pork cutout values are up slightly, the market simply doesn't possess enough fundamental support right now to confidently trade the contracts higher. December lean hogs are up $0.35 at $58.52, February lean hogs are down $0.40 at $63.47 and April lean hogs are down $0.42 at $69.22. The projected lean hog index is delayed from the source. Hog prices average $47.07, ranging from $40.00 to $58.50 on the Daily Direct Morning Hog Report, on 7,300 head and a five-day rolling average of $53.00. Pork cutouts total 162.43 loads with 137.17 loads of pork cuts and 25.27 loads of trim. Pork cutout values: up $2.24, $74.52.