Written Commentary
MORNING LIVESTOCK FUTURES OUTLOOK
LEAN HOGS
February 2024 Lean Hogs closed limit up and spread traders were bull spreading. Spreads remain wide with February closing $6.70 under April. Even with February limit up, trading took place throughout the day with moderately active volume on February with Globex volume at 26,750 contracts. However, volume for April Lean Hogs on out had light volume with April 9,402 contracts, June with 5,186 contracts and July at 2,386 contracts without any contract from April near limit up. At the same time, Live Cattle trade volume was light but there were traders buying Lean Hogs and selling Live Cattle.
LIVE CATTLE
With heavier cattle being sold there is more beef on the market. It is going to add more trimmings, ground beef and more Select beef. Consumers wanting cheaper beef will benefit but more beef and cheaper beef is going to pressure Choice prices.
>>Read full report here
Interested in more futures markets? Explore our Market Dashboards here
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
