Livestock futures traded in wide ranges Tuesday. Sharp pressure was seen in hog and feeder cattle futures as traders focused on tight corn supplies and increased production costs as well as limited demand.
Livestock trade was mixed Tuesday. Hog futures backed away from early week support. On the other hand, despite midday pressure, live cattle futures bounced higher on demand strength. Cash cattle trade remained quiet Tuesday afternoon with bids and asking prices not fully defined.
Increased interest is expected from both sides over the next couple of days. But, given the wide futures trade ranges, sales may not develop until later in the week despite the recent trend for Southern trade to develop on Wednesday.
The National Daily Direct afternoon hog report was $0.60 higher ($67-$77 per cwt, weighted average $75.30) on 11,515 head sold.
Corn futures surged higher following Tuesday’s USDA report with July up 12 cents per bushel. The Dow Jones Index was 14 points lower with the NASDAQ down 2 points.