CATTLE: Cash cattle this week: $150.-151.00, and $240.00 dressed Neb.; on 209 boxed loads cut outs higher at up. $2.45 @ $218.95(c)/up. $2.69 @ $216.67(s) on very good demand; Carcass Equivalent: $209.07 up. $1.11.
COMMENTS: Weekly beef export sales rose 19% to 11,700t; open interest rose 2,700 even as G/J falls 4400 amid heavy volume. Record high cash cattle prices likely mean record high beef prices coming and using the retail lag, those prices will show in mid-March at the counter. April cattle new contract highs and now talk is to $150.00; for me, a move/close under $143.20 a likely bull warning flag.
HOGS: ****RUSSIA TO RESUME U.S. PORK IMPORTS MCH. 10TH!
Interior cash hogs higher @ up. $1.80/$2.17(w)/ not/est. (e) with rough avg. (w) $96.75); pork cut outs up. $1.27 @ $99.59, led by bells & loins. Lean index as of 02/25 @ $93.67 up. $1.06.
COMMENTS: Cash hogs higher as interior prices reach for $100.00 or more? Why not. Think anyone knew about the Russian announcement? Naw, the rally was all PEDv related (right). Nonetheless, the uptrend remains intact with only that pesky technical condition called ‘overbought’; risk gets pricey but for me a close/move under the low end of its first gap at $97.85 seems the likely bull defense. Weekly pork export sales fell 18% to 12,900t (of note, China took 1,200t of it….was it Rectopamine-free like Russia is demanding?).