Lean Hogs Lower Trend Continues
MORNING LIVESTOCK FUTURES OUTLOOK
Bullish traders should be pleased to see Choice boxed beef on Monday that Choice was up $2.89 and the Select cutout up $3.22. However, when there are just a total of 96 loads of all beef load sold, bullish enthusiasm needs to be reined in and it is how the trade took the positive boxed beef news with Live Cattle and Feeder cattle closing lower Monday. August Live Cattle on Monday settled at $179.75 . The 5 day negotiated steer price is $186.21.
Lean Hog futures have been trending down since August 1st and Monday was no exception. During June and July pork prices moved higher as pork became a competitive meat as beef prices moved up. However, beef has been turning down and with the increasing number of hogs slaughtered there is more pork. The CME Lean Hog Index has been narrowing to the CME pork Index. This is negative for packers.
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