DTN Midday Livestock Comments 11/29 12:08

DTN Midday Livestock Comments 11/29 12:08 Live Cattle Futures Rebound at Midday Sharp losses have vanished at midday in cattle futures with midday trade mixed in live cattle futures. The renewed support is helping to bring stability back into the complex. By Rick Kment DTN Analyst GENERAL COMMENTS: Early pressure quickly developed in cattle markets Tuesday morning, pushing prices sharply lower. The lack of support in the complex continues to draw uncertainty into the market following the aggressive losses Monday. But losses have moderated at midday, giving way to mixed trade and the potential for increased support through the end of the day. Corn prices are lower light trade. December corn futures are 8 cents lower. Stock markets are higher in light trade. The Dow Jones is 40 points higher while Nasdaq is up 30 points. LIVE CATTLE: Mixed trade is seen midday following strong losses that have developed through most of the morning. The lack of follow through pressure during the second half of the trading session seems to be creating the potential for a market rally as December contracts are holding narrow single digit gains at midday. Stability in the market will be considered a moral victory considering early triple-digit losses and widespread pressure seen through the complex. This may spark additional uncertainty through the market. Cash cattle markets remain at a standstill Tuesday morning with bids and asking prices poorly defined at this point. Beef cut-outs at midday are higher $0.62 higher (select) and up $2.16 per cwt (choice) with light movement of 68 total loads reported (24 loads of choice cuts, 20 loads of select cuts, 11 loads of trimmings, 13 loads of ground beef). FEEDER CATTLE: Feeder cattle futures remain lower at midday, but have pulled back from strong triple-digit losses seen midmorning. The lack of continued pressure seen through the complex has allowed for markets to moderate as the session has progressed and potentially may bring additional support back into the market. January futures are holding narrow losses of 15 cents per cwt with traders limited to light movement as the potential for late-day gains may develop before closing bell. LEAN HOGS: December lean hog futures continue to scrape out a narrow gain at midday while the rest of the complex remains moderately lower as trader pressure develops through the complex. February and April futures are leading the complex lower with 70 to 75 cent losses at midday despite support in the cash market, as traders pull back from the aggressive market rally seen through the holiday week. The potential to continue the market surge seems to be challenged by market support limited in the cattle complex and curbing overall support through the entire livestock complex at the end of the month. Cash prices are higher on the National Direct morning cash hog report. The weighted average price added $0.52 per cwt to $42.84 per cwt with the range from $40.00 to $45.00 on 6,835 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 223 loads selling with prices falling $1.51 per cwt. Lean hog index for 11/25 is at $48.06 up $0.17 with a projected two-day index of $48.03 down $0.03. Rick Kment can be reached at rick.kment@dtn.com (ES) Copyright 2016 DTN/The Progressive Farmer. All rights reserved.