DTN Midday Livestock Comments 06/24 12:04

DTN Midday Livestock Comments 06/24 12:04 Cattle Futures Hold Triple-Digit Losses at Midday Sharp losses are seen through the live and feeder cattle futures at midday based on widespread and aggressive losses in nearly all other outside markets. Concern over economic stability around the world has continued to drive selling pressure into the market. By Rick Kment DTN Analyst GENERAL COMMENTS: Outside market pressure is driving the livestock markets lower Friday morning with cattle futures holding triple-digit losses. There may be some additional softness in late-day trade. Lean hog futures are lower, but with limited pressure in nearby contracts. Corn prices are lower. July corn futures are down 7 cents. Stock markets are lower in light trade. The Dow Jones is 518 points lower while Nasdaq is down 180 points. LIVE CATTLE: Live cattle futures are following the direction of outside markets as triple-digit losses continue to hold across the complex. Concern about how global economies will react over the coming weeks and months to the UK leaving the EU and also the availability of money in commodity markets is keeping traders unwilling to buy. Cash cattle activity is still generally light with bids at $116 in the South and $184 to $186 per cwt in the North. Moderate trade developed through the week, which will likely limit any additional trade through the end of the week in the South, although more Northern Trade is still needed. Beef cut-outs at midday are mixed $0.04 higher (select) and down $1.46 per cwt (choice) with light movement of 78 total loads reported (54 loads of choice cuts, 15 loads of select cuts, no loads of trimmings, 9 loads of ground beef). FEEDER CATTLE: Feeder cattle futures remain under sharp pressure following the lack of support in outside markets. August futures are leading the market lower with a $2.10 per cwt loss. Even though prices have bounced off of early lows, the lack of support in the market is evident, likely keeping losses near $2 per cwt through the end of the session. LEAN HOGS: Activity has been extremely light with prices moving very little through the morning. The overall lack of direction through the lean hog market in front-month futures has kept losses narrow, currently down 22 cents per cwt. Deferred futures are most heavily impacted by outside market pressure. Cash prices are lower on the National Direct morning cash hog report. The weighted average price fell $1.03 per cwt to $80.27 per cwt with the range from $79.72 to $82.50 per cwt on 2,475 head reported sold. Cash prices are unreported due to confidentiality on the Iowa Minnesota Direct morning cash hog report. The National Pork Plant Report reported 130 loads selling with prices unchanged per cwt. Lean hog index for 6/21 is at $83.51, up 0.38 with a projected two-day index of $84.02 up 0.51. Rick Kment can be reached at rick.kment@dtn.com (CZ) Copyright 2016 DTN/The Progressive Farmer. All rights reserved.