DTN Midday Livestock Comments 04/09 12:08
There Went That Idea
Livestock contracts start to brace for the long weekend and skip out on
trading in a higher manner on Thursday.
By ShayLe Stewart
DTN Livestock Analyst
Livestock contracts were able to rally for three days in a row but now that
Thursday has arrived the support the complex garnered earlier this week has
dissipated. May corn is up 2 cents per bushel and May soybean meal is up $0.70.
The Dow Jones Industrial Average is up 502.80 points and NASDAQ is up 86.92
Live cattle contracts are trading lower with the rest of the livestock
complex and a depressed attitude hasn't helped the cash cattle trade. April
live cattle are up $0.80 at $93.62, June live cattle are down $2.07 at $84.60
and August live cattle are down $1.65 at $90.55. Cash cattle trade has been
mostly quiet with no bids being renewed at this point. Asking prices are around
$110 on live cattle and $175 for dressed.
Of the cattle that have traded this week -- substantially lower has been the
tone as live cattle trade for $105, $4.00 lower than last week's average, and
dressed cattle have traded at $168, $6.00 lower than last week's weighted
Boxed beef prices are lower: choice is down $3.41 ($224.47) and select down
$3.64 ($214.11) with a movement of 75 loads (44.98 loads of choice, 9.00 loads
of select, 7.58 loads of trim and 13.53 loads of ground beef).
Feeder cattle contracts have teetered back and forth; one minute they are
higher, the next they are lower. It's apparent that the complex has more
support in its backing than the other contracts but as pressure grows from the
other markets, the feeder cattle market has fallen mostly lower. April feeders
are down $1.07 at $118.80, May feeders are down $1.22 at $118.15 and August
feeders are up $0.05 at $127.60.
The coronavirus headache continues as the Smithfield pork processing plant
in Sioux Falls, South Dakota, announced it will close temporarily for cleaning
after there have been 80 confirmed cases with plant employees. The plant
intends to close some of its production Saturday, and then be completely shut
down both Sunday and Monday so that the premises can be cleaned and sanitized.
The Department of Agriculture said that there has been no evidence that the
coronavirus is being transmitted through food or its packaging -- thankfully!
It's been a softer day in the lean hog complex as the board has subsided to
lower prices and the cash market is both lower and trading on fewer head. April
lean hogs are down $0.62 at $42.50, June lean hogs are down $2.07 at $49.37 and
July lean hogs are down $1.50 at $55.35.
The projected lean hog index for 4/8/2020 is down $1.86 at $51.11 and the
actual index is down $2.55 at $52.97. Hog prices are lower on the National
Direct Morning Hog Report, down $0.37 with a weighted average of $39.97,
ranging from $39.50 to $41.00 on 2,559 head sold and five-day rolling average
of $41.38. Pork cutouts totaled 191.64 loads with 155.93 loads of pork cuts and
35.71 loads of trim. Pork cutout values: up $0.91, $52.32.
ShayLe Stewart can be reached firstname.lastname@example.org
Copyright 2020 DTN/The Progressive Farmer. All rights reserved.
Get your local Cash Bids emailed to you each morning from DTN – click here
to sign up for DTN Snapshot.