Live cattle were able to close slightly higher after spending time on both sides of unchanged. Steady to higher cash provide support in the face of strong corn futures. Hogs just could not hold despite strong exports sales. Technical selling erupted sending futures lower.
Cattle: Higher. Futures: Higher. Live Equiv: $193.30 -$0.42*
Hogs: Steady. Futures: Mixed. Lean Equiv: $112.27 +$0.18**
*Based on formula estimating live cattle equivalent of gross packer revenue. (The Live Cattle Equiv. Index has been updated to depict recent changes in live cattle weights and grading percentages.)
** based on formula estimating lean hog equivalent of gross packer revenue.
Live cattle futures spent time on both sides of unchanged Thursday but were able to close slightly higher. Steady to higher cash provided the needed support to keep futures from trending lower. Southern cash traded steady with last week, which was a victory, while Northern dressed cattle were able to trade as much as $4.00 higher putting the icing on the cake.
Packers needed cattle and the end of the week was looming and feedlots were holding out. Slaughter is running stronger than last week and a year ago with demand remaining brisk. Packers had some cattle already contracted earlier but they did not have much wiggle room to hold out another week. Boxed beef was mixed with choice down $1.03 and select up $0.41.
Weekly export sales were not as good as hoped totaling 19,700 mt, down 28% from last week. Feeder cattle futures posted generally triple-digit losses due to the strength of corn.