DTN Midday Livestock Comments          04/24 11:40

   Cattle Markets Retreat Upon More HPAI News

   The cattle complex is trading lower as new news has spread surrounding the 
HPAI virus.

ShayLe Stewart
DTN Livestock Analyst

GENERAL COMMENTS:

   The cattle contracts are again trading lower as traders have noted the 
announcement that the HPAI virus has been found in some milk samples. Still no 
cash cattle trade has developed, and the week's trade is likely delayed until 
Thursday or Friday. May corn is down 2 cents per bushel and July soybean meal 
is up $4.90. The Dow Jones Industrial Average is down 127.45 points.

LIVE CATTLE:

   Unfortunately, upon the news of finding fragments of HPAI in pasteurized 
milk samples, the cattle complex is again trading lower. Chris Clayton, DTN's 
Ag Policy Editor wrote thoroughly on the matter which you can read here:

   June live cattle are down $1.62 at $175.45, August live cattle are down 
$1.82 at $173.72 and October live cattle are down $1.37 at $178.00. No cash 
cattle trade has developed and it's mostly likely that trade is delayed until 
Thursday or Friday. Asking prices in the South are noted at $186 plus but 
remain unestablished in the North. With boxed beef prices struggling and given 
the market's recent lower ascend, it's likely that cash cattle prices trade 
steady at best.

   Boxed beef prices are lower: choice down $1.62 ($295.78) and select down 
$1.99 ($290.77) with a movement of 107 loads (69.66 loads of choice, 21.71 
loads of select, 2.73 loads of trim and 13.07 loads of ground beef).

FEEDER CATTLE:

    

   With the added market pressure of the evolving HPAI story, the feeder cattle 
contracts are too trading lower. May feeders are down $2.92 at $243.12, August 
feeders are down $2.97 at $256.35 and September feeders are down $2.75 at 
$257.72. Even though the futures complex is trading lower, feeder cattle sales 
in the countryside will still likely see strong interest and trade steady with 
the week's higher tone.

LEAN HOGS:

   Hog prices are mixed heading into Wednesday's afternoon as the market has 
noted the uptick in morning pork cutout values but wants to see how the 
afternoon's carcass price fairs before rallying the complex, and more than 
anything traders are hoping that Thursday's export report is fruitful. June 
lean hogs are down $0.07 at $107.87, July lean hogs are up $0.05 at $110.00 and 
August lean hogs are up $0.27 at $107.40.

   The projected lean hog index for 4/23/2024 is up $0.19 at $91.64, and the 
actual index for 4/22/2024 is up $0.14 at $91.45. Hog prices are higher on the 
Daily Direct Morning Hog Report, up $0.29 with a weighted average price of 
$91.30, ranging from $85.00 to $94.50 on 1,547 head and a five-day rolling 
average of $90.57. Pork cutouts total 130.32 loads with 118.50 loads of pork 
cuts and 11.81 loads of trim. Pork cutout values: up $1.41, $98.30.

   ShayLe Stewart can be reached at ShayLe.Stewart@dtn.com

    

    




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