DTN Midday Livestock Comments 11/15 11:52

DTN Midday Livestock Comments 11/15 11:52 Cattle Experience Late-Week Jump Traders are eagerly supporting both the live cattle and feeder cattle markets, but the lean hog complex is continuing to trail lower. ShayLe Stewart DTN Livestock Analyst GENERAL COMMENTS: Thus far it's been a mixed morning for the livestock complex as the cattle contracts are seeing better trader interest, but the lean hog complex is continuing to fall lower. No new cash cattle trade has developed, but a bid is currently offered in Nebraska at $185 live. December corn is up 3 1/2 cents per bushel and December soybean meal is up $1.40. The Dow Jones Industrial Average is down 329.86 points. Thursday's export report shared that beef net sales of 14,200 metric tons (mt) for 2024 were up 78% from the previous week and 8% from the prior 4-week average. The three primary buyers were Japan (4,300 mt), South Korea (2,500 mt) and Mexico (2,200 mt). Pork net sales of 19,800 mt for 2024 were down noticeably from the previous week and down 12% from the prior 4-week average. The three primary buyers were Mexico (9,600 mt), Japan (3,900 mt) and Colombia (2,100 mt). LIVE CATTLE: The live cattle complex has received mixed messages this week from traders, but Friday's interest has been exceptional as traders are eagerly jumping into the live cattle market and helping to push the contracts higher. December live cattle are up $0.95 at $183.90, February live cattle are up $1.22 at $186.32, and April live cattle are up $1.65 at $188.57. No more cash cattle trade has developed, but a bid of $185 has been offered in Nebraska. It's likely some clean-up trade could develop ahead of the day's end, but by and large it looksing like the bulk of this week's trade is done. So far this week, Southern live cattle have traded at mostly $185, which is $2.00 lower than last week's weighted average, and Northern dressed cattle have traded at mostly $290, which is $3.00 lower than last week's weighted average. Boxed beef prices are mixed: choice down $0.39 ($303.41) and select up $0.13 ($276.79) with a movement of 66 loads (34.98 loads of choice, 13.47 loads of select, 10.29 loads of trim and 6.87 loads of ground beef). FEEDER CATTLE: The feeder cattle complex is soaring higher into Friday's noon hour as the market experiences a late week rally with most nearby contracts trading $3.00 higher. November feeders are up $3.10 at $250.72, January feeders are up $3.40 at $246.62, and March feeders are up $3.20 at $244.92. Yes, the live cattle complex is trading slightly higher as well, but the feeder cattle market is the leader Friday as it charges sharply higher. It's to pinpoint what exactly is driving the market higher as this week boxed beef prices have been lower, the fed cash cattle market has traded $1.00 to $3.00 lower and this morning corn prices are slightly higher. So upon evaluating the market's various factors, it would appear the tremendous demand in the countryside, which has pushed the CME Feeder Cattle Index to $251.04 (Thursday's close) seems to be the driving force behind Friday's energetic trade. LEAN HOGS: The lean hog complex is again trailing lower into the day's noon hour as traders weren't overly impressed with the week's export sales report. December lean hogs are down $0.15 at $79.95, February lean hogs are down $0.32 at $83.45, and April lean hogs are down $0.55 at $87.57. Yes, pork cutout values are up $4.45, but with the wild price swings seen earlier this week, traders are fearful of continued whiplash in the pork sector as the belly price doesn't seem to be stabilizing. The projected CME Lean Hog Index for 11/14/2024 is down $0.51 at $89.27, and the actual index for 11/13/2024 is down $0.16 at $89.78. Hog prices are lower on the Daily Direct Morning Hog Report, down $4.31 with a weighted average price of $82.87, ranging from $82.00 to $85.00 on 782 head and a five-day rolling average of $87.14. Pork cutouts total 205.43 loads with 187.11 loads of pork cuts and 18.32 loads of trim. Pork cutout values: up $4.45, $98.52. ShayLe Stewart can be reached shayle.stewart@dtn.com (c) Copyright 2024 DTN, LLC. All rights reserved.