DTN Before The Bell-Livestock

Cattle Futures Move Higher

Rick Kment
By  Rick Kment , DTN Analyst
(DTN photo by Nick Scalise)
GENERAL COMMENTS

Livestock futures are mixed Friday morning with cattle trade holding narrow to moderate support early support. Lean hog futures are holding narrow losses in most contracts as very little support is seen at the end of the week. Corn markets are trading lower in light trade activity. The stock market is trading higher in light early trade. Dow Jones is 23 points higher while Nasdaq is up 21 points.

LIVE CATTLE:

Open: Steady to 30 cents higher. There is increased light buyer support developing through the complex. This continues to draw support into the complex. October live cattle futures has moved above $110 per cwt with increased additional support from fundamental activity developing through the end of the week. Cash cattle activity is slow to develop with asking prices of $110 to $112 live and $174 to $176 dressed. Bids are undeveloped at this point, but expected to quickly develop as the day continues. Open interest Thursday added 2,209 positions (336,150). Spot October lost 1,192 positions (27,628) and December contracts added 1,477 positions (151,402). DTN projected slaughter for Friday is 117,000 head.

P[L1] D[0x0] M[300x250] OOP[F] ADUNIT[] T[]

FEEDER CATTLE:

Open: 50 to 90 cents higher. Firm gains have developed early Friday morning with light activity seen through the first few minutes of trade. There continues to be some additional support developing in live cattle markets. Cash lean index for 10/3 is $155.65, down 0.11. Open interest Thursday gained 64 position (59,639).

LEAN HOGS:

Open: Mixed. Narrow losses have developed through the morning with very light trade volume as the focus continues to remain on end of the week price shifts. There is very little direction developing through the first couple minutes of trade as prices have held into narrow price shifts at the end of the week. Cash bids are called steady to $1 per cwt higher with most bids scattered through the range. Open interest Thursday added 2,293 positions (260,327). Spot month October slipped 2,082 positions (17,399) and December gained 1,866 positions (122,267). Cash lean index for 10/3 is $54.97, up 0.58. DTN projected slaughter for Friday is 460,000 head. Saturday runs are expected at 240,000 head.

Rick Kment can be reached at rick.kment@dtn.com

(SK)

P[L2] D[728x90] M[320x50] OOP[F] ADUNIT[] T[]
P[R1] D[300x250] M[300x250] OOP[F] ADUNIT[] T[]
P[R2] D[300x250] M[320x50] OOP[F] ADUNIT[] T[]
DIM[1x3] LBL[] SEL[] IDX[] TMPL[standalone] T[]
P[R3] D[300x250] M[0x0] OOP[F] ADUNIT[] T[]

Rick Kment