Kleist Comments

MORNING MEATS 12/19/13
MORNING MEATS 12/19/13

CATTLE: Cash cattle so far very light $129.-130.00, Neb.; on 134 boxed loads cut outs lower at dn. $.25 @ $198.18(c)/dn. $.40 @ $188.38(s) on moderate demand; Carcass Equivalent: $189.21 dn. $.02.

COMMENTS: Not much for sales in Nebraska but it is a shot across the bow. December relatively in line though. Weekly beef export sales fell 52% to 4,800t not helpful; open interest fell 2,027 led by Z/G off 3200 amid light volume. Cannot see much new in here and therefore will keep defense area in tact.

HOGS:

Interior cash hogs lower @ dn. $.06(e)-dn. $1.48(w) avg.$77.25; pork cut outs dn. $2.02 @ $88.51. Lean index as of 12/17 @ $80.59 dn. $.18.

COMMENTS: Cash hogs perhaps under pressure as cut outs fall out of bed again led by hams (seasonal?) then bellies and loins, the big guys. The new way of calculating the cut outs makes its own new rules vs. the old way. Glad all I did was lower the risk areas as per previous cut-out/interior comment from last week. Weekly pork export sales rose 84%! to………..9,700t, not enough to offset the total pork tonnage increases, but 3 out of 4 buyers were Asia with Mexico the other one. Open interest falls 3,300 amid light volume. We’ll keep opinion as is.

Kleist Comments

This is John Kleist, of Kleist Ag Consulting.
Questions? Email me: johnwkleist@sbcglobal.net

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