DTN Closing Livestock Comments

GENERAL COMMENTS: Between Monday's abbreviated session and the government shutdown, most closing reports from USDA were not available. New showlists distributed just before the Christmas break look mixed, smaller in Texas and Colorado, larger in Kansas, and about steady in Nebraska. Due to the holiday, the closing national hog base is not available. Corn futures closed fractionally lower in extremely light trading. On one hand, outside markets exerted bearish influence while parts of the federal government remains unfunded. Wall Street continued to crash big time, putting in the worst Christmas Eve ever. The Dow closed 653 points lower with the Nasdaq off 140.

LIVE CATTLE: Closing an hour earlier than normal linked to the Christmas holiday, live futures settled mostly 7 to 40 cents higher. There wasn't much to talk about in terms of consistent trading features. Through the balance of the week, traders will be monitoring the development of a heavy winter storm in the Midwest, which could cause cattle prices to jump sharply. Closing beef cut-outs were not available.

WEDNESDAY'S CASH CATTLE CALL: Steady to $1 higher. Cash cattle traders should slowly start to reassemble at midweek with preliminary bids and asking prices fielded. Significant trade volume may not surfaced until Thursday or Friday.

FEEDER CATTLE: Business was minimal here as well with prices finishing moderately higher thanks in part to a general lack of selling interest. Early settlements ranged from 2 to 65 cents higher with deferreds outperforming nearbys. CME cash feeder Index for 12/21: NA.

LEAN HOGS. Lean hog futures were no doubt interested in an outbreak of African swine fever reported in the Guangdong province of China. Reportedly, this the second outbreak of the disease reported in the province. Though the further spread of AFS could result in greater U.S. pork exports to China, such theories didn't have much currency in Monday's slow trading affair. Closing contracts closed off 12 to 82 cents. Closing wholesale pork data was not available. (DTN Projected lean index for CME cash lean index for 12/21: NA) CME cash lean index for 12/20: $53.87, off $0.78.

WEDNESDAY'S CASH HOG CALL: Steady to $1 lower. Look for hog buyers to resume procurement chores on Wednesday with generally defensive cash bids.

John Harrington can be reached at harringtonsfotm@gmail.com

Follow him on Twitter @feelofthemarket

(CZ)

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