Cattle: Cash cattle last week: $130.-131.00 & $207-208.00 dressed; On 74 boxed loads cut outs up. $1.23(c) to up. $1.10(s) on light midday movement.
Comments: December flat tracking cash cattle while Feb. rallied on a likely consolidation after recent losses. Some timing models I understand look
for another drop before a low is put in. We’ll see: Feb. is 2 months out and hope can spring eternal. And some meaningful long liquidation has already occurred. Showlists: Neb. dn. 2,000hd., KS. dn. 3,000 and TX. off 15,000hd (!). Marketing’s then would seem better than expected.
Hogs: Interior hogs early not well established;
Pork cut outs rose $3.55, largely due to the big two: hams and loins.
Comments: Feb.’s premium remains a target at about a $9.00 premium to the avg. interior. Nonetheless, at some point that PED concern will recur and hope for post-holiday rallies (1st week of a new year comes to mind) may start providing some underlying support.
GRAINS & OILSEEDS:
Corn: Even the bean/meal rally failed to get much of a bounce in the corn pit. Technicals continue bearish, funs continue to sell (generally) and weak longs continue to liquidate. China and Ethanol fears persist.
Soybeans: The good news: techncials hold on downside; NOPA crush over a month ago (though well under avg. trade est.’s); and weekly export inspections were very good again.
Wheat: New lows. I suspect anyone buying corn would sell wheat against it ‘just in case’. The market still suffering from the last USDA report; from light weekly export sales; from overseas production; from bearish technicals.