Kleist Comments

Morning Meats
Morning Meats

CATTLE: Cash cattle so far $125.00; On 157 boxed loads cut outs: choice up. $.56
at $190.45, select up. $.02 at $183.93 on moderate demand.
Carcass Equivalent: $181.57 up. $.26.

COMMENTS:  This cattle market is one of the lamest in years to me as there has been virtually little to chew on from week to week: I almost yearn for whipsaws on rumors or trade talk. Calm before the storm or calm before the calm? Even the chart is boring. Hogs ain’t much better. As such tough to give guidance and for now will again suggest June in the $119’s for trading turns, albeit likely modest ones as evidenced. Hedgers are covered protecting equity; I await something to use either rightly or
wrongly. Open interest fell 1,167 led by J/M off a combined 2700 amid light volume. Close over $121.05 to get something going?

Interior cash hogs yesterday mixed at dn. $.86/dn $.76, rough avg. $77.00; cut outs up. $.6012 @ $82.25; lean index as of 04/12 at $82.66 up. $.14.

COMMENTS: My sense is a slightly better tone to the pork market and as such guess I’ll lean to a slight bias to buy a hard break for a trading turn but with the premium
little else to do; now IF we get a ‘delayed’ meat demand rally we’ll look at new hedges. Open interest little changed amid light volume. Yawner.

Kleist Comments

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

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