DTN Closing Livestock Comments

Cattle Complex Closes Mostly Lower, Checked by Uncertain Fall Fundamentals

(DTN file photo)

GENERAL COMMENTS:

The midweek cash cattle trade came and went without a meaningful test. A few dressed deals were reported in parts of the North at 180, about steady with last week. Some Southern bids were noted at $112, well under asking prices of $118. According to the closing report, the national hog base totaled $0.52 lower at $55.28 ($50-$56.95). The corn trade closed about a penny lower in a rather lackluster reaction to national elections. Stock market bulls exploded in the wake of a new, divided Congress. The Dow closed 545 points higher with the Nasdaq better by 194.

LIVE CATTLE:

Live futures settled with mixed prices, scattered from 67 higher to 80 lower. Generally speaking, nearby contracts gained on their deferred counterparts. Beef cut-outs closed significantly lower with the choice off $0.54 ($218.22) and select off $2.89 ($201.77). Box demand was called light with light offerings.

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

THURSDAY'S CASH CATTLE CALL:

Steady. Significant trade volume seems to be slowly taking shape, but real market definition may not be completely revealed until sometime Friday.

FEEDER CATTLE:

Feeders closed under pressure with most issues settling off 5 cents to $1.30. CME cash feeder index: 11/06: $152.88, off $0.44.

LEAN HOGS:

The lean hog trade at the CME closed mostly higher with prices ranging from $1.42 higher to 17 cents lower. Spot December caught the most buying interest, boosted by short-covering and the premium status of the cash index. The pork carcass value got hit hard Wednesday, falling more than a buck thanks to softer demand for loins and processing items. CME cash lean index for 11/05: $64.00, off $0.08 (DTN Projected Lean Index for 11/06: $63.72, off $0.28).

THURSDAY'S CASH HOG CALL:

Steady-$1 lower. Look for hog buyers to keep on the heat in the morning, logically leaning into bearish fundamentals.

John A. Harrington can be reached at harringtonsfotm@gmail.com

(CZ)

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[]