CATTLE: Cash cattle last week: $150.-152.00 south, $152.-154.00 Neb. and $245.00 dressed; on 122 boxed loads cut outs lower @ dn. $4.79 @ $234.46(c)/dn. $3.87 @ $227.34(s) on moderate demand; Carcass Equivalent: $222.02 dn. $2.14.
COMMENTS: OK, I’ll say it: cattle futures “seemingly” (hogs not open yet) did a better job of forecasting the Pig Crop than the hog market did (again, we’ll see); individually the crash in beef prices and seasonal trends suggest cash cattle will be lower this week, perhaps markedly so. Hate to be this ‘bear-ed’ up this early in the week, though April cattle’s discount at least called for such a development if it happens. C-O-T report: leaned neutral and in keeping with the sideways price trend?
Interior cash hogs mixed @ dn. $1.60 (w) to up $1.06 (e), rough avg. $126.80: Pork cut outs up. $.37 @ $130.36, saved by the ‘bell…ies’. Lean index as of 03/27 @ $129.15 up. $1.02.
COMMENTS: Cash hogs? Who cares today? The Pig Crop was bearish from breeding to weights to intentions etc. coming in on a futures market of apparent excesses. Summer months could be limit down at least, and perhaps beyond today if funds get antsy. Speaking of which, C-O-T report leaned bearish. By the way, something we brought up awhile back: USDA et al now looking into feed as a possible PEDv culprit. This report and the Grains reports out at 11:00 should make for an interesting trading day.
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