Roles have reversed Thursday morning as cattle contract dip lower and lean hog contracts push higher.
Cattle contracts pull back as the lean hog market steps the plate. Cattle contracts are most likely pulling back with caution knowing that Friday presents another Cattle on Feed Report.
December corn is up 2 1/2 cents per bushel and December soybean meal is up $2.00. The Dow Jones Industrial Average is down 38.08 points and NASDAQ is down 31.33 points.
Live cattle contracts follow in suit after feeder cattle contracts dived lower early Thursday morning. December live cattle are up $0.05 at $119.35, February live cattle are down $0.67 at $124.80 and April feeder cattle are down $0.97 at $125.27. Chatter throughout the country remains relatively quite with just a few scattered bids on the table.
Asking prices for cattle left on show lists are around $117 to $118 in the South, and $185 to $188 in the North. Business may be done in the South, but a few more pens are expected to trade in the North if quality cattle are presented.
Midday boxed beef prices are lower: choice down $2.08 ($236.13) and select down $1.21 ($213.56) with a movement of 91 loads (45.29 loads choice, 11.71 loads of select, 26.52 loads of trim and 7.72 loads of ground beef).
It was looking like steady, sideways trade was going to be the trend in the feeder cattle market this week but come Thursday prices dropped in both nearby and deferred contracts. November feeder cattle are down $1.00 at $145.60, January feeder cattle are down $1.82 at $142.25 and March feeders are down $1.87 at $142.27. Given that Friday’s Cattle on Feed Report has projections of lavish placement figures, trade may end up closing the week lower.
After the flip of the midweek mark, lean hog prices found a positive jolt of support and are trading higher in both nearby and deferred contracts. Early morning trade pushed strong support but as the noon hour approaches trade has settled down in the spot December contract. December lean hogs are up $0.15 at $60.60, February lean hogs are up $0.52 at $67.30 and April lean hogs are up $0.90 at $73.82.
The projected lean hog index for 11/19/19 is up $0.29 at $59.58, and the actual index for 11/18/19 is up $0.05 at $59.29. Hog prices on the National Direct Morning Hog Report are up $0.33 with a weighted average of $42.66, ranging from $40.00 to $43.03 on 3,371 head with a five-day rolling average of $42.37.
Pork cutouts totaled 156.82 loads with 136.01 loads of pork cuts and 20.81 loads of trim. Pork cutout values: down $6.05 at $80.53.