Written Commentary
MORNING LIVESTOCK FUTURES OUTLOOK
LIVE CATTLE
On moderate trade volume Live Cattle futures made new contract highs Tuesday and new contract high closes. Spec traders were buying front months and selling succeeding months and remaining bear spread. A big part of the trade saw traders buying Hogs and selling Cattle on profit taking after last Friday’s contract high. June Live Cattle are trading discount to cash cattle.
LEAN HOGS
Lean Hogs were higher Tuesday with profit taking and the trade evening up June Lean Hogs nearer to cash hogs and where the CME Lean Hog Index is priced. However, a big part of the trade was profit taking on Live Cattle/Lean Hog spreads.
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