DTN Midday Livestock Comments          07/09 11:43

   Traders Continue to Push Livestock Contracts Higher at Midday Wednesday

   Asking prices are noted in the South at $228 to $230, but no cattle have 
sold yet.

ShayLe Stewart
DTN Livestock Analyst

GENERAL COMMENTS:

   The livestock complex is trading higher into Wednesday's noon hour as 
traders continue to support the complex aggressively. Still no cash cattle 
trade has developed, and trade will likely be delayed until Thursday or Friday. 
July corn is up 2 1/2 cents per bushel and July soybean meal is down $1.10. The 
Dow Jones Industrial Average is up 50.92 points and the NASDAQ is up 123.01 
points.

LIVE CATTLE:

   While the feeder cattle complex has been the unwavering driving force behind 
this week's rally, it's interesting to note this morning that the biggest daily 
gains are currently being seen in the furthest deferred 2026 live cattle 
contracts. August live cattle are down $0.25 at $219.72, October live cattle 
are up $0.35 at $217.15 and December live cattle are up $0.42 at $217.05. But 
as mentioned, the June 2026 to December 2026 live cattle contracts are all 
trading more than $1.00 higher into Wednesday's noon hour. Still no cash cattle 
trade has developed, but asking prices are noted in the South at $228 to $230 
and remain unestablished in the North. With the slight dip in morning boxed 
beef prices, the fed cash cattle market will likely wait to trade until 
Thursday or Friday, as packers will want to see if this weaker trend continues.

   Boxed beef prices are lower: choice down $3.55 ($389.49) and select down 
$3.52 ($374.94) with a movement of 70 loads (50.74 loads of choice, 9.90 loads 
of select, zero loads of trim and 8.97 loads of ground beef).

FEEDER CATTLE:

   It's truly incredible to see the feeder cattle complex continuing to charge 
higher and higher, even though just yesterday the market scored new contract 
highs. But with ample support from the market's fundamentals, the contracts 
have seemed to gain another gust of momentum. August feeders are up $0.85 at 
$319.97, September feeders are up $0.45 at $319.62 and October feeders are up 
$0.45 at $317.70. At the day's initial start, both the live cattle and feeder 
cattle contracts were trading lower, but the feeder cattle complex continues to 
aim higher, and traders eventually came around to support the contracts again 
this morning without too much pushback.

LEAN HOGS:

   With the slight bump in pork demand, the lean hog complex seems to be 
finding some stability in the futures complex as well. July lean hogs are up 
$0.20 at $107.17, August lean hogs are up $0.50 at $107.25 and October lean 
hogs are up $0.77 at $93.75. The morning's uptick in terms of pork cutout 
values is slightly skewed as the $7.20 jump in the belly helped drive the 
carcass price higher, but the rest of the cuts saw more moderate changes.

   The projected lean hog index for 7/8/2025 is down $0.29 at $107.04, and the 
actual index for 7/7/2025 is down $1.00 at $107.33. Hog prices on the Daily 
Direct Morning Hog Report average $111.81, ranging from $101.00 to $114.00 on 
5,368 head and a five-day rolling average of $111.12. Pork cutouts total 140.28 
loads, with 117.33 loads of pork cuts and 22.96 loads of trim. Pork cutout 
values: up $1.38, $113.39.

   ShayLe Stewart can be reached shayle.stewart@dtn.com




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