CATTLE: Cash cattle last week $121.00 south, $123.00 Neb.; on 122 boxed loads cut outs: choice up. $.68 at $188.89 select dn. $.05 at $182.00 on moderate demand. Carcass Equivalent: $177.26 up. $.47.
COMMENTS: Cattle futures still trying to determine perhaps the potential change of venue so to speak after the Tyson deal but for me I’ll suggest no major changes and as mentioned, will give the ‘breakout’ to a new swing high on the charts a chance to cool off some and consolidate, which occurred Friday. Weather though suggests to me a window for better BBQ demand for steaks and with back to school USDA meat accumulation into Sept. perhaps we an keep a floor under the live market. Open interest little changed in total amid moderate volume; C-O-T report: leaned bullish. Built-in premium tricky up here.
Interior cash hogs yesterday mixed at dn. $.10/up. $.20 rough avg. $97.65; cut outs up. $.69 @ $103.34; lean index as of 08/07 @ $101.49 up. $.41.
COMMENTS: October basically just into its mid-range of $83-87.00 and I have no lean for a breakout either side yet. Weather, back to school and vacation times etc. might keep demand together. October’s discount to the current interior might also put a floor under the market. But I’m treating as a trading affair. Open interest little changed amid light volume; C-O-T report: leaned decidedly negative.