DTN Closing Livestock Comments

GENERAL COMMENTS:

Light to moderate trade finally surfaced in most areas of cattle feeding country Friday with most ready steers and heifers selling significantly higher. A moderate to active trade developed in most areas Friday morning with live deals ranging from $114 to $115, ($4 higher in Texas, $3 higher in Kansas, and $4 to $5 higher in Nebraska). Dressed deals in the North are at $180, $6 higher than last week's weighted average basis Nebraska. According to the closing report, the national hog base totaled $0.54 lower at $57.06 ($52-$58.50). Corn prices ended with a strong late-week recovery thanks to a better start to 2018-2019 exports, closing 6-7 cents higher. The stock market closed 296 points lower with the Nasdaq off 151.

LIVE CATTLE:

Jazzed by greater wholesale spending and more aggressive procurement in feedlot country by packers, live issues settled $0.52 to $1.32 higher. Beef cut-outs closed significantly higher with the choice up $0.37 ($213.47) and select up $0.52 ($198.83). Box demand was called good with light offerings.

MONDAY'S CASH CATTLE CALL:

Steady-$2 higher. Look for the feedlot trade to resume in slow gear Monday as packers focus almost exclusively on the assessment of new showlists. We expect the late-month offering to be steady to somewhat larger in size.

FEEDER CATTLE:

The feeder market closed moderately higher with contracts up 32 to 85 higher. Stronger deferred live futures were clearly supported of feeder issues. CME cash feeder index: 10/25: $154.01, up $0.36.

LEAN HOGS:

Lean contracts settled 77 to 182 higher, boosted by late-week fundamentals. The carcass value closed moderately lower, pressured by ribs, hams and bellies ribs and bellies. Pork cut-out: $76.59, off $0.58. CME cash lean index for 10/24: $65.03, off $0.43. (DTN Projected Lean Index for 10/25: $64.61, off $0.42.

MONDAY'S CASH HOG CALL:

Steady-$1 lower. Hog buyers should resume procurement on Monday with steady/weak bids.

John Harrington can be reached at harringtonsfotm@gmail.com

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