Kleist Comments

MORNING MEATS 4/3/14
MORNING MEATS 4/3/14

CATTLE: Cash cattle last week: $150.-152.00 south, $152.-154.00 Neb. and $245.00 dressed; on 106 boxed loads cut outs higher @ up. $1.10 @ $233.64(c)/up. $.71 @ $223.66(s) on moderate demand; Carcass Equivalent: $222.20 up. $.64.

COMMENTS: Cash cattle in no hurry to establish as packers want lower prices and feeders want higher prices….the usual dance. Futures suggesting more a steady go? Weekly beef export sales rose 4% to 13,800t led by Japan at 5500t of it but there was NO Russia….thought they lifted their U.S. import ban? Open interest little changed in total amid light-side volume. The market still a range roughly from $147.00-143.00 since Fe. 26th. Obviously.

HOGS:

Interior cash hogs lower @ dn. $1.93 (w) to Not/Est. (e): Pork cut outs up. $.92 @ $132.52, thanks bellies at up $4.50. Lean index as of 04/01 @ $130.34 up. $.03.

COMMENTS: Cash hogs called lower because futures were lower? In the old days it was vice-versa but then again there’s a new breed of livestock reporters around. Weekly pork export sales rose strongly from low levels to 13,600t led by Mexico at 6,700t, Asia then at 4,700t combined and China took 900T! Open interest little changed in total even as J/M together falls 2600, rest up modestly each bit volume strong. I’ll hold to yesterday’s comments. Whether the Big Top is in or the Little Top in remains to be seen. Is the PEDv mania cooled off? Seems so for now anyway and in fact IF the USDA report was correct (as I believe) then there’s also record high wts. and record high pork Cold Storage stocks to deal with then. Should be a lively trade for months.

Kleist Comments

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

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