DTN Midday Livestock Comments
Feeders Hold Strong at Midday
Live Cattle:
After a solid week of commercial buying has sparked a rally in the futures market, live cattle contracts are mixed midday Friday. However, commercial buying continues to be seen, indicated by action in the futures spreads. If this holds through the close it could possibly carry over into early next week's trade.
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Feeder Cattle:
Commercial buying is also supporting feeder cattle at midday, helping to extend this week's gains. Some of this buying could be tied to the corn market, though the latter has stabilized at midday. If feeders can stay strong through the close it could be enough to pull deferred live cattle contracts higher as well
Lean Hogs:
Lean hogs are lower midday Friday, pressured by a light round of noncommercial selling. Commercial interests as a whole have moved to the sidelines, indicated by mixed futures spreads. Some of the noncommercial pressure could be tied to outside markets, most notably the nearly 400-point sell-off by the Dow Jones Industrial Average.
Darin Newsom can be reached at darin.newsom@dtn.com
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