A few cattle traded at $97.00-$97.50 in Texas and Kansa on Wednesday after the board collapsed.  

Numbers were very small since most of this week's cattle were already sold, but a lower trend appears in place.  Volumes traded were larger in Nebraska, which still had some cattle to move this week.  Trade in Nebraska ranged $95.00-$97.00 live and $152-$154 dressed. 

The choice cutout was up $0.38 at $158.04 last night, with the select up $1.02 at $150.06. Volume was light, especially for a Wednesday. Loins continued weak, though ribs rebounded in some cases. End cuts were generally firm.

HOGS   

Cash hog market calls are steady, but with weak undertones in the West.  It appears some packers are getting fairly well covered for this week.  Concerns over the ability of pork to sustain pricing on a 2.2 mill head slaughter are resulting in some packers rethinking their aggressive posture towards procuring hogs going forward. 

The pork cutout lost $0.45 last night.  Bellies lost 3-7 cents as the market deals with the end of BLT season and buyer resistance to record high prices.  Hams also were soft again, with heavier weights quoted down 2 cents.  Loins were unevenly steady, with butts firm.  Mexico has reportedly lifted a ban on pork from the Tarheel plant, though a ban by Russia remains in place. 

Last night's CME weekly storage report showed an out-movement of 7 thsd lbs compared to an out-movement last year of 1.552 mill lbs. Stocks now total just 2 thsd lbs compared to 24.768 mill lbs last year.   

Wednesday's Cold Storage Report showed total pork in the freezers at 6 year lows.  Total pork stocks at the end of August were 384.8 mill lbs compared to 530.1 mill lbs last year.  Belly stocks fell to record low levels at the end of August, no surprise to product short slicers.   End of August belly stocks totaled 6.89 mill lbs compared to 48.96 mill lbs last year.  Ham stocks moved up over year ago levels for the first time this year.  End of August stocks totaled 139.6 mill lbs compared to 135.9 mill lbs last year and 123.0 mill lbs at the end of July.  The 16.6 mill lb in-movement was unusually large, even more so given the shorter production.