Kleist Comments

MORNING MEATS 6/26/14
MORNING MEATS 6/26/14

CATTLE: Cash cattle last week: $148.-150.00 and $235.-238.00; on 132 boxed loads cut outs mixed @ up. $.86 @ $244.52(c), dn. $.17 @ $238.17 (s) on moderate demand; Carcass Equivalent: $225.91 up. $.31.
COMMENTS: Open interest little changed in total even as August drops 2400 amid moderate volume; weekly beef export sales rose 6% to 17,100t led by H/K and So.Korea (near 10,000t of it total); cash cattle called higher, $152.00 seems in view; no stopping choice beef price rise it seems; technically if buying breaks a close under $147.64 a likely bull defense near term.

HOGS:
Interior cash hogs mixed @ dn. $.43 (W), up. $6.43 (!) (E): rough avg. $124.50. Pork cut outs rose $2.08 @ $132.58. Lean index 06/24 @ $123.12 up. $1.44.
COMMENTS: Pig Crop wt. group seen as PEDv reflective is the 120-179lb. category; weekly pork export sales rose sharply to 17,100t (what a coincident vs. beef) but was mostly Mexico at 9,300t of it; futures volatile if nothing else, hence the Pig Crop could loom large. Except for hedges I will not bet on the report though I think ‘negative tilt’ has a slight edge.

Kleist Comments

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

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