CATTLE: Cash cattle last week: $154.-156.00; on 89 boxed loads cut outs higher @ up. $1.30 @ $247.28(c), up. $1.16 @ $238.91 (s) moderate demand; Carcass Equivalent: $230.94 up. $3.96.
COMMENTS: Weekend weather and extended forecasts look good if only looking at BBQ conditions. August cattle acting as usual, setting back then moving higher as the discount still matters; a move/close under $149.14 is a likely bull defense area near term. Post holiday demand? First we will look at clearance, then promo’s afterwards. Showlists down sharply, led by Neb.
Interior cash hogs mixed @ dn. $1.07 (W), up $.49 (E): rough avg. $124.60. Pork cut outs fell $.29 @ $131.44. Lean index 06/27 @ $126.80 up. $.72.
COMMENTS: Pig Crop suggested back months need to gain front (Q) month as the August 1) at a $8-9.00 premium to the interior and 2) the PC numbers were still not the extreme dn. 10-15% some were talking about. And wts. a factor as well. I play it day to day mostly. Hedgers have been hurt here but rewarded in corn, meal. At some point, retailers will need to cry uncle perhaps if beef demand wanes post-holiday. Anyway, if bullish the back months might be more ‘less risky’ (*if that exits anymore).