CATTLE: Cash cattle last week $119.00 south, $120-121.00 north; on 115 boxed loads cut outs: choice dn. $.19 at $191.53, select dn. $1.04 at $183.67 on light demand. Carcass Equivalent: $178.65 dn. $.19.
COMMENTS: Cash cattle held relatively well with live mostly steady and dressed sdy/dn $1.00. Weekend weather was great in many areas for BBQ’ing as the heat was not oppressive. Open interest rose 2595 even as August fell 8746 amid good volume…..open interest net increasing a good sign or a bull market if one is coming, only problem as before the premium but even then that’s narrowing quickly. Might not get that $1-2.00 break I am looking for to buy (brave hearts might probe at the $121-120.90 area). C-O-T report: changes light, mostly neutral.
Interior cash hogs yesterday mixed at dn. $.88/up. $3.09 rough avg. $98.50; cut outs up. $.53 @ $100.86; lean index as of 07/11 @ $102.99 dn. $.10.
COMMENTS: Cash hogs about steady early after packers pushed bids late Friday from lower early to sharply higher in I/M and western corn belt later. Magical stuff. July expires today and August’s discount might be a magnet for bottom picking but it seems too obvious and cash hogs can be hit quickly. Looks too easy but maybe it is. Nonetheless, the August made a new swing low Friday and barely holding range-low support. Might just let July say goodbye and play it from there. China January-June pork production reported up 1% on yr., though total meats and poultry fell .2%; open interest fell 2117 led by August off 8850 amid good volume; C-O-T report: neutral.