Written Commentary
MORNING LIVESTOCK FUTURES OUTLOOK
CATTLE COMPLEX
Live cattle opened higher after President Trump said he was postponing dropping tariffs on beef. However, sellers came into the futures and pushed LC futures lower into the close. Volume was active.
Higher food costs are having a negative effect on restaurants. In 2025 42% of restaurants said they lost money for the year. In 2025 and in 2026 there is an increase in chain restaurants closing.
LEAN HOG COMPLEX
Lean hog volume was active Monday with spread traders moving markets buying hogs and selling cattle and bull spreading lean hogs.
Bacon prices are dropping. Bacon is a product consumers will pass up when meat prices rise.
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