Written Commentary
MORNING LIVESTOCK FUTURES OUTLOOK
LIVE CATTLE
Traders didn’t seem to care about the Cattle on Feed Report on Monday. Trade volume for a post report day was quiet and trade volume this week might remain quiet.
Going forward, looking at how cash cattle are now priced is significant. With the August futures discount to cash, feedlots will continue selling light cattle and grading percent remains low. The spread between boxed Choice and Select beef is widening but on a down market, it means there is too much Select.
LEAN HOGS
Daily pork sales have been light. Only one day over the past 3 days has total movement been over 300 total loads. Pork prices on light sales have moved higher. Butts and ribs have been the best movers, but loins have also gained over the past month. Hams were higher Monday, but at the average 5 day price of 85.39 still are cheap.
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