Monday may have been gloomy, but the livestock sector is coming alive as we etch further and further into Tuesday.
The livestock complex may have started the week uninterested but as Tuesday rolled around and opened way to a new day, the market place took advantage of a time to mark gains. Gains are seen midday in all livestock markets with lean hogs posting the biggest gains.
December corn is up 7 1/4 cents per bushel and December soybean meal is up $4.70. The Dow Jones Industrial Average is down 226.26 points and NASDAQ is down 82.09 points.
Slow steady gains are welcomed into the live cattle complex as the day progresses on. Though the live cattle market may not be seeing gains as large compared to the lean hog and corn markets, steady persistent gains add up over time and grant less volatility. December live cattle opened at $111.22 and have since given a little and now is at $111.05, December live cattle is the only contract month showing losses in the live cattle sector.
The rest of live cattle board posts gains of anywhere from $0.15 to $0.52. Feedlots are basking in the sun today as higher boxed beef prices and positive support from the board align for a strong cash market again this week. The countryside remains quiet as both feedlots and packers see where things will shake out. There are a few asking prices of $175-plus in the North right now.
Midday boxed beef prices are up: choice up $1.99 ($213.08) and select is up $0.61 ($186.52). Tuesday’s midday offering of boxed beef movement totaled 60 loads (23.93 loads of choice cuts, 17.35 loads of select cuts, 6.38 loads of trim and 11.87 loads of ground beef).
Lo and behold even the feeder cattle market has warmed up to the strength found in the livestock complex Tuesday. Positive gains surround nearby and deferred contracts ranging anywhere from $0.05 to $0.65. November feeder cattle opened Tuesday at $140.90 and now sit at $141.47.
Tuesday’s lean hog market has soared. December lean hogs opened at $63.52 and have since jumped up to $67.75. It sounds as though beginning trade conversation has gone well with China, good enough to the point where China is sending more trade officials than they expected to. Regardless of where the excitement is stemming, the lean hog sector hasn’t stalled on the opportunity to catch this momentum and has countered extremely well.
The projected lean hog index for 10/7/19 is up $0.37 at $59.59, and the actual lean hog index for 10/4/19 came to $59.22, down $0.01. Prices are higher on the National Direct Morning Hog Report, up $0.75 with a weighted average of $50.48, ranging from $49.00 to $53.00 on 5,679 head sold with a five-day rolling average of $49.54.
Pork cutouts totaled 244.32 loads with 218.84 loads of pork cuts and 25.48 loads of trim. Pork cutout values are up $0.17 at $77.92.