Written Commentary
MORNING LIVESTOCK FUTURES OUTLOOK
CATTLE COMPLEX
No surprises. The Cold Storage report will do little to the livestock market.
It is unusual to see the strength in beef in February, especially the top cuts, rib and loin sections. But with slaughter numbers down at current levels beef prices will be high. For rib and loins the premiums are also enhanced by the export market where a lot of beef is at previously contracted prices and the small amounts of beef currently sold on the daily market is at the sellers asking price.
LEAN HOG COMPLEX
Cash hog and pork prices have been slowly moving higher. However, it appears before long the higher hog prices will start to squeeze the packer if pork prices don’t start to be higher faster than hog prices.
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