Cattle: Cash cattle last week: $136-140.00 & $217-218.00 dressed. On 47 boxed loads cut outs up. $.82(c) to up. $1.60(s) on light midday movement.
Comments: Bull spreads working as prices make new highs. Part of the bull-psychology is the weather and delayed marketing’s, no talk yet about death loss.
Hogs: Interior hogs early lower at (e) off $.49, (w) not/est.; Pork cut outs fell $.71, quiet trade.
Comments: Sloppy trade as the brutal cold not seen as a factor yet. How warm are those barns? Anyway, the pork trade not showing any overt signs of bottoming yet. Perhaps that’s why futures seemed to be consolidating. Beef not concerned but pork might be: movement out east a real challenge (closer home, major Ind. road I-65 closed from here to Lafayette last two days.
GRAINS & OILSEEDS:
Corn: Technical resistance areas held gains in check. Support laid from increased feed usage due to the record-setting cold and apparent shortcovering. And perhaps more new buying?
Soybeans: Spot January led the light to moderate gains here, in turn led by the strength in soymeal. Soymeal higher on expected increased usage as well. Neither corn nor meal seem concerned about DDGs as exports drop and apparently prices still high? (China?). By the way, South America still seems fine overall. USDA report Friday.
Wheat: As mentioned, the rally did not seem weather related and was in part due to a (combined) 1.2mln.m/t’s of world export activity over the weekend (of that amount, U.S. share 160,000t). As such, prices drifted back lower on the day after failing to surmount even the low end of nearby chart resistance.