Early livestock commentary-Robin Fuller
Cattle asking prices are $115.00 live in The Panhandle, and $114.00 Kansas. Nebraska lots are asking $2.00 over the August futures. There are no bids yet this week. The market is expected to be quiet again today, though there may be some token bids surface in the south. Cattle numbers are plentiful, but packer margins are good, and ideas are that the market will be about steady.
The choice cutout was up $0.58 at $179.18 last night, with the select up $1.26 at $173.57. Spot volume picked up a bit yesterday afternoon after a slow start to the day, but the total was still fairly light given the positive reports on weekend clearance. The recent rally in beef prices is putting buyers off for short term acquisition, and strong back month futures is hurting longer term beef featuring plans as well.
Hog calls are about steady this morning. Although packers are full for this week, they are buying for a full kill week next week, and numbers remain relatively tight. Barrow and gilt weights in Iowa/S. Minn eased down about half a pound last week. The decline is about seasonally normal.
The pork cutout lost $0.33 last night. Loins were steady to sharply lower, and the weighted average lost nearly a dime. Butts traded a penny higher. Hams and bellies were unquoted. Both cuts are said to be in good shape, with supplies somewhat tight on the reduced production this week.
Written by Robin Fuller. For more information or trading ideas about this market, Please contact us at (312)896- 2001 or email us at email@example.com.