DTN Midday Livestock Comments 09/14 12:01

DTN Midday Livestock Comments 09/14 12:01 Feeder Cattle Futures Continue Lower Live cattle futures are mixed in light trade with front-month futures 50 cents higher. Traders are looking for additional direction despite the triple-digit losses seen in feeder cattle futures. By Rick Kment DTN Analyst GENERAL COMMENTS: Livestock futures are mixed in a moderate range with feeder cattle futures setting the tone for lower moving prices Monday as traders continue to add to losses seen late last week. Early pressure seen in live cattle futures has moderated with front month October futures regaining some market support. Corn prices are higher in light trade. September corn futures are 5 cents per bushel higher. Stock markets are lower in light trade. The Dow Jones is 86 points lower while Nasdaq is down 25 points. LIVE CATTLE: Live cattle futures are mixed at midday with light but stable buying interest slowly moving back into the nearby contracts. The focus through the complex continues to be directed by the lack of support in feeder cattle futures while very little additional seller interest is lining up at this point. Cash cattle markets are quiet Monday morning with the focus on trying to develop renewed activity. At this point it may not be until the last half of the week until trade once again develops. Show lists are expected to be generally lower through most areas, which may limit options for packers as they continue to move through the end of September. Beef cut-outs at midday are lower, $0.22 lower (select) and down $1.23 per cwt (choice) with active movement of 112 total loads reported (50 loads of choice cuts, 14 loads of select cuts, 29 loads of trimmings, 18 loads of ground beef). FEEDER CATTLE: Strong pressure is holding through the live cattle futures market with traders looking for additional pressure due to lack of buyer interest stepping back into the market. September futures fell below the $200 per cwt threshold, while lagging behind the triple digit pressure in October and November contracts. The extension of pressure following losses late last week continues to focus on lack of strong market activity. LEAN HOGS: Moderate pressure has once again developed midday Monday after lean hog futures have bounced higher and lower through morning trade. The lack of direction through the entire complex is not surprising given the softness in the cattle markets as well as the strong surge higher in the grain markets. Cash prices are lower on the National Direct morning cash hog report. The weighted average price fell $1.59 per cwt to $63.98 per cwt with the range from $59.00 to $66.00 per cwt on 3,580 head reported sold. Cash prices are lower on the Iowa Minnesota Direct morning cash hog report. The weighted average price fell $0.66 per cwt to $66.85 per cwt with the range from $64.00 to $66.00 per cwt on 590 head reported sold. The National Pork Plant Report reported 175 loads selling with prices adding $1.00 per cwt. Lean hog index for 9/10 is at $72.70 down 0.38, with a projected two-day index of $71.94, down 0.76. Rick Kment can be reached at rick.kment@dtn.com (BAS) Copyright 2015 DTN/The Progressive Farmer. All rights reserved.