Written Commentary
Livestock AM Outlook
Hog futures trading is very light. Specs spreading is what moves the market. December is short leg to October and short leg to February. At some point, the short side will be lifted.
With delivery possible tonight and cash markets essentially at October futures, feedlots that held off cattle on showlist last week should and likely will have them on this week’s list adding more cash cattle for packers to buy. Packers will also have their own cattle and forwarded contracted cattle they can put on the kill. Feedlots will ask $110 but whether they get it with extra available cattle will depend on what the boxed beef market does through the week.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
