| |
DTN Midday Livestock Comments 11/09 12:08
Stronger Trader Support Drives the Livestock Contracts Higher into Monday's
Noon Hour
Thanks to increased trader support, the livestock contracts are trading
higher into Monday's noon hour.
ShayLe Stewart
DTN Livestock Analyst
GENERAL COMMENTS:
The livestock complex is headed into Monday's noon hour fully higher --
which is a breath of fresh air compared to the lower trend in which the market
endured last week. New showlists for the week are lower in Nebraska and Texas,
but higher in Kansas. December corn is down 1 3/4 cents per bushel and December
soybean meal is up 10 cents. The Dow Jones Industrial Average is up 1,052.19
points and the NASDAQ is up 652.12 points.
LIVE CATTLE:
Whether traders deemed that the market had had enough downward pressure, or
if it's Tyson's announcement that broke Monday morning -- regardless of the
rhyme or reason, it's refreshing to see the cattle contracts again trading
higher. Early Monday morning, Tyson Foods announced that the company intends to
fully reopen their second production shift at their Amarillo, Texas, Beef
facility by the summer of 2027. The reopening of the Amarillo second shift will
increase production and hopefully help keep product steadily available to
consumers, and fed cash cattle supplies manageable.
December live cattle are up $2.50 at $216.55, February live cattle are up
$3.35 at $220.55 and April live cattle are up $3.35 at $223.20. New showlists
for the week are lower in Nebraska and Texas, but higher in Kansas.
Last week Southern live cattle traded at mostly $218, which is $6 lower than
the previous week's weighted average and Northern dressed cattle traded at
mostly $340, which is $8 to $25 lower than the previous week's weighted average.
Boxed beef prices are mixed: choice up $1.61 ($362.40) and select down $1.07
($352.49) with a movement of 36 loads (17.22 loads of choice, 5.26 loads of
select, 7.45 loads of trim and 6.49 loads of ground beef).
FEEDER CATTLE:
The feeder cattle complex is also rallying boldly into Monday's noon hour as
the market is elated to finally see some support from traders and from the live
cattle complex. November feeders are up $6.42 at $328.75, January feeders are
up $6.55 at $324.92 and March feeders are up $7.20 at $321.05. And so long as
the live cattle contracts continue to trade higher, the feeder cattle contracts
should be able to maintain their rally through the day's close.
LEAN HOGS:
And although not all the lean hog contracts are trading higher -- at least
the nearby contracts are which is a fine change of pace for the market as it's
been incredibly pressure over the last month. December lean hogs are up $2.72
at $56.25, February lean hogs are up $1.65 at $60.35 and April lean hogs are
down $0.05 at $66.45. It is helpful that midday pork cutout values are higher
too, as a lack of demand has hindered the market immensely over the last month.
If traders can lend the market some support, and pork cutout values can
continue to trade higher -- the market may be able to trade steady if not a
tick higher. The projected lean hog index for Nov. 6, 2026 is down $1.29 at
$60.28, and the actual index for Nov. 5, 2026 is down $1.29 at $61.57. Hog
prices are lower on the Daily Direct Afternoon Hog Report, down $1.86 with a
weighted average price of $43.10, ranging from $40 to $49 on 797 head and a
five-day rolling average of $45.23. Pork cutouts totaled 176.26 loads with
156.45 loads of pork cuts and 19.81 loads of trim. Pork cutout values: up
$0.92, $71.57.
ShayLe Stewart can be reached shayle.stewart@dtn.com
(c) Copyright 2026 DTN, LLC. All rights reserved.
No other Daily email offers as much useful Ag information as DTN Snapshot – Sign up Free today!
|
|
