Nothing went on in the cash market Tuesday with no bids or offers being set. The rally in cattle futures Wednesday likely will not have much influence on opening bids as price increases have yet to change the trend. Hog futures struggled all Tuesday with December closing limit down.
Cattle: Steady Futures: Mixed Live Equiv: $140.99 -0.99*
Hogs: Lower Futures: Higher Lean Equiv: $ 73.01 -0.45**
* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue
The futures price rally Wednesday was not supported by higher cut-outs. October and December live cattle futures have not been able to move into the chart gaps while February and April contracts regained quite a bit of the losses from the reaction to the Tyson fire. The strength in feeder cattle led the market higher.
There is an expected larger offering of cattle this week due to light activity last week. Cash bids and offers will be established Wednesday as buyers and sellers become a bit more serious.