DTN Early Word Livestock Comments 08/14 06:11

DTN Early Word Livestock Comments 08/14 06:11 Last Trading Day for August Hogs Cash cattle ended the week steady to firm and not quite what feedlots had hoped for. However, business was accomplished that needed to be done for the week. Hog futures found some support as traders positioned themselves after a negative week. Robin Schmahl DTN Contributing Analyst Cattle: Higher Futures: Mixed Live Equiv: $221.71 +$0.17* Hogs: Lower Futures: Mixed Lean Equiv: $117.23 -$2.98** *Based on formula estimating live cattle equivalent of gross packer revenue. (The Live Cattle Equiv. Index has been updated to depict recent changes in live cattle weights and grading percentages.) ** based on formula estimating lean hog equivalent of gross packer revenue. GENERAL COMMENTS: Even though cash cattle traded steady to higher, it was not enough to push futures higher. It was another week of limited trade as feedlots were willing to hold cattle over another week in anticipation of receiving higher cash. Packers are trying to balance the overall weakness of boxed beef with what they are willing to pay for cattle. Feedlots believe they can push packers into a corner which may result in a substantial increase in prices. Boxed beef was mixed on Friday with choice up $0.58 with select down $0.57. USDA increased the average price of steers on the WASDE report to $178.50 for this year, an increase of $3.20 from the July projection. However, they reduced their estimate for 2024 to $186, a decrease of $2.00. The Commitment of Traders report showed funds selling 4,953 live cattle contracts bringing their net longs to 95,628 futures contracts. Funds sold 1,022 futures contracts bringing their net long positions to 13,411 contracts.