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DTN Midday Livestock Comments 11/12 11:42
Traders Cautiously Handle Livestock Contracts at Midday Wednesday
Following Monday's big run-up in the futures contracts, it's likely that the
contracts will trade lower until better fundamental support is seen.
ShayLe Stewart
DTN Livestock Analyst
GENERAL COMMENTS:
The livestock complex is trading mostly lower into midday Wednesday, as the
market needs to see more fundamental support. No cash cattle trade has
developed at this point, and it's likely that trade will be delayed until later
in the week. December corn is up 1 3/4 cents per bushel and December soybean
meal is up $2.60. The Dow Jones Industrial Average is up 373.14 points and the
NASDAQ is down 131.44 points.
LIVE CATTLE:
Following Monday's sharp run-up, the live cattle complex is now back to
trading in a more cautious manner as traders look around for support and
reassurance. December live cattle are down $2.47 at $224.72, February live
cattle are down $2.30 at $224.10 and April live cattle are down $2.32 at
$223.50. No cash cattle trade has developed yet, but asking prices are noted at
$232 plus in the South, but asking prices in the North remain unestablished at
this point. There's a chance that trade could hold steady this week if the
board remains supportive, as holiday demand is right around the corner.
Boxed beef prices are mixed: choice down $3.24 ($375.98) and select up $2.01
($362.09) with a movement of 105 loads (89.51 loads of choice, 10.32 loads of
select, zero loads of trim and 5.52 loads of ground beef).
FEEDER CATTLE:
The feeder cattle complex is also trading lower as the market looks for some
fundamental support to reassure traders that Monday's big jump was justified.
November feeders are down $0.17 at $337.50, January feeders are down $3.97 at
$325.17 and March feeders are down $4.55 at $318.77. It's most likely that the
reason why the deferred contracts are trading so much lower is because, in this
volatile market, with time, looms risk.
LEAN HOGS:
The lean hog complex is also trading lower as the market wants to see more
consumer support. December lean hogs are down $1.12 at $81.22, February lean
hogs are down $1.70 at $81.52 and April lean hogs are down $1.52 at $85.52. And
until traders see more widespread fundamental support, they'll likely either
let the contracts trade sideways or venture a tick lower as the contracts need
reassurance.
The projected lean hog index for 11/11/2025 is down $0.04 at $89.13, and the
actual index for 11/10/2025 is down $0.24 at $89.17. Hog prices are lower on
the Daily Direct Morning Hog Report, down $0.62 with a weighted average price
of $81.57, ranging from $77.00 to $83.00 on 715 head and a five-day rolling
average of $83.76. Pork cutouts total 234.77 loads with 208.19 loads of pork
cuts and 26.58 loads of trim. Pork cutout values: down $1.33, $96.05.
ShayLe Stewart can be reached shayle.stewart@dtn.com
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