DTN Midday Livestock Comments 05/09 11:41

DTN Midday Livestock Comments 05/09 11:41 Lackluster Tones Draw Livestock Contracts Lower No cash cattle trade has developed, and no bids are being offered currently. ShayLe Stewart DTN Livestock Analyst GENERAL COMMENTS: It's been a lackluster, dreary day for the livestock complex as all three of the livestock markets are trading lower thanks to a lack of demand. No cash cattle trade has developed yet, but packer interest should improve throughout the afternoon. July corn is down 2 1/2 cents per bushel and July soybean meal is down $3.10. The Dow Jones Industrial Average is up 160.53 points. Thursday's export report shared that beef net sales of 12,300 mt for 2024 were down 45% from the previous week and 29% from the prior 4-week average. The three largest buyers were Japan (4,400 mt), South Korea (1,900 mt) and Mexico (1,700 mt). Pork net sales of 24,400 mt for 2024 were down 27% from the previous week and 26% from the prior 4-week average. The three largest buyers were China (6,900 mt), Japan (3,900 mt) and Canada (3,700 mt). LIVE CATTLE: With export sales lousy, boxed beef prices mixed, and still no cash cattle trade having developed -- it comes as no surprise that the live cattle contracts are again trading lower. June live cattle are down $0.55 at $175.85, August live cattle are down $0.50 at $173.72 and October live cattle are down $0.55 at $176.90. There are no bids currently being offered, but asking prices remain firm in the South at $186 to $187, and are still not established in the North. Packer interest could improve throughout the day, but it's also just as likely that trade is delayed until Friday. Boxed beef prices are mixed: choice up $0.26 ($296.93) and select down $1.55 ($286.70) with a movement of 60 loads (39.44 loads of choice, 10.24 loads of select, zero loads of trim and 10.12 loads of ground beef). FEEDER CATTLE: The feeder cattle complex is again trailing lower as the market is desperately looking for support but is coming up short in the form of stronger boxed beef prices or any positive news yet in the cash cattle market. Yes, feeder cattle demand remains strong in the countryside and corn prices are lower -- but traders don't seem to appreciate those factors today. May feeders are down $1.42 at $238.77, August feeders are down $0.95 at $251.42 and September feeders are down $1.15 at $252.25. LEAN HOGS: With Thursday's export report being less than hoped, and midday pork cutout values lower, traders have little reason as to why they should trade the complex higher. June lean hogs are down $0.55 at $98.17, July lean hogs are down $0.70 at $101.72 and August lean hogs are down $0.72 at $101.00. The market could regain some hope if Friday's WASDE report is support over the summer months and shows promise of good consumer demand -- but we'll have to wait and see how that report shakes out before we count on anything. The projected lean hog index for 5/8/2024 is steady at $91.28, and the actual index for 5/7/2024 is up $0.25 at $91.28. Hog prices are lower on the Daily Direct Moring Hog Report, down $3.62 with a weighted average price of $88.96, ranging from $87.50 to $92.50 on 1,286 head and a five-day rolling average of $92.17. Pork cutouts total 127.16 loads with 106.06 loads of pork cuts and 21.10 loads of trim. Pork cutout values: down $0.59, $98.70. ShayLe Stewart can be reached at ShayLe.Stewart@dtn.com (c) Copyright 2024 DTN, LLC. All rights reserved.