DTN Midday Livestock Comments 10/22 11:46

DTN Midday Livestock Comments 10/22 11:46 Traders Push Livestock Complex Higher Into Tuesday's Noon Hour Still no developments have surfaced in the cash cattle market and trade won't likely happen until Thursday or Friday. Rick Kment DTN Analyst GENERAL COMMENTS: The livestock complex is trading fully higher into Tuesday's noon hour as trader support is ample and they're currently encouraged with the market's strong consumer demand. No developments have surfaced in the cash cattle market. December corn is up 6 1/4 cents per bushel and December soybean meal is up $1.20. The Dow Jones Industrial Average is down 45.30 points. LIVE CATTLE: Even though the live cattle complex traded lower throughout Monday's trade, the market is thriving and trading substantially higher thus far Tuesday. December live cattle are up $1.32 at $188.15, February live cattle are up $1.10 at $188.72, and April live cattle are up $0.75 at $189.27. The spot December contract isn't currently trading above resistance levels, but the market is nearing its monthly high. Traders will pay special attention this week with the market basically at resistance levels as they're needing substantial fundamental support to help advance the complex. At this point no developments have surfaced in the cash market and won't likely until Thursday or Friday. Boxed beef prices are mixed: choice up $1.24 ($324.10) and select down $2.60 ($293.61) with a movement of 81 loads (49.35 loads of choice, 22.28 loads of select, zero loads of trim and 9.20 loads of ground beef). FEEDER CATTLE: Because the live cattle complex is trading higher and lending enough support for the feeder cattle market to feel confident about its upward scale throughout the day, so far feeder futures have successfully traded higher despite the fact that the nearby corn contracts are trading $0.05 to $0.06 higher. What's especially impressive about Tuesday's movement is that the spot January contract is currently trading above the market's 100-day moving average -- which continues to be a threshold the market is battling to overcome. November feeders are up $1.97 at $248.57, January feeders are up $1.37 at $245.62, and March feeders are up $0.97 at $244.62. LEAN HOGS: Even though Tuesday morning's pork cutout price is lower, traders are confidently advancing the market as consumer support has been strong over the last several trading days. Logically, with boxed beef prices trending higher, one must assume some consumers are choosing to buy more pork and chicken as opposed to beef from sheer cost perspective. December lean hogs are up $0.60 at $78.87, February lean hogs are up $0.30 at $82.55, and April lean hogs are up $0.10 at $86.02. Traders don't give much merit to Tuesday morning's pork cutout value, but they will be watching closely to see if the afternoon's carcass price closes higher or lower. The projected CME Lean Hog Index 10/21/2024 is up $0.11 at $84.34, and the actual index for 10/18/2024 is up $0.27 at $84.23. Hog prices are higher on the Daily Direct Morning Hog Report, up $0.61 with a weighted average price of $75.18, ranging from $73.00 to $77.50 on 2,125 head and a five-day rolling average of $75.95. Pork cutouts total 167.01 loads with 137.59 loads of pork cuts and 29.42 loads of trim. Pork cutout values: down $1.16, $97.08. ShayLe Stewart can be reached shayle.stewart@dtn.com (c) Copyright 2024 DTN, LLC. All rights reserved.