DTN Midday Livestock Comments          05/14 11:49

   Traders Push the Cattle Contracts Higher Again

   No bids have surfaced in the cash cattle market, but feedlot managers are 
pleased to see the board trading higher.

ShayLe Stewart
DTN Livestock Analyst

GENERAL COMMENTS:

   The livestock complex is trading mixed as the cattle complex has grabbed 
another gear and is trading substantially higher, but the lean hog contracts 
continue to trade lower. Still no trade has developed in the fed cash cattle 
market. May corn is up 2 1/2 cents per bushel and May soybean meal is steady. 
The Dow Jones Industrial Average is down 53.76 points and the NASDAQ is up 
145.55 points.

LIVE CATTLE:

   The momentum hasn't seized in the live cattle complex as traders break out 
full support and push the nearby contracts $1.00 to $2.00 higher into 
Wednesday's noon hour, which is a bold move given that boxed beef prices are 
lower this morning. Although the market has yet to see what the fed cash cattle 
market will do in terms of prices, and aside from the fact that boxed beef 
prices are softer this morning, traders continue to seek higher prices in the 
live cattle sector. June live cattle are up $1.82 at $218.22, August live 
cattle are up $2.50 at $214.15 and October live cattle are up $2.25 at $210.67. 
Asking prices of $224 to $225 are noted in the South but asking prices have not 
yet been established in the North. It looks like trade will be delayed until 
Thursday or Friday.

   Boxed beef prices are lower: choice down $0.54 ($349.56) and select down 
$0.24 ($334.23) with a movement of 74 loads (46.38 loads of choice, 15.08 loads 
of select, 5.07 loads of trim and 7.53 loads of ground beef).

FEEDER CATTLE:

   The feeder cattle complex is following in the live cattle market's direction 
as its contracts are also trading fully higher into today's noon hour. But 
that's not to say that the feeder cattle market doesn't have enough support of 
its own, as just yesterday afternoon the CME feeder cattle index climbed to yet 
another new all-time high of $302.40, showing just how strong buyer demand is 
in the countryside. May feeders are up $0.35 at $303.17, August feeders are up 
$1.07 at $307.07 and September feeders are up $1.20 at $306.22.

LEAN HOGS:

   The lean hog complex is currently "tucking its tail and running" from the 
market's technical resistance pressure. The complex posted a significant rally 
on Tuesday, but without enough fundamental support, the market is back to 
trading lower as there simply isn't enough support to conquer the resistance. 
June lean hogs are down $0.65 at $98.85, July lean hogs are down $0.47 at 
$102.72 and August lean hogs are down $0.30 at $101.82. Midday pork cutout 
values are slightly higher, but traders are still searching for more support.

   The projected lean hog index for 5/13/2025 is up $0.46 at $90.77, and the 
actual index for 5/12/2025 is up $0.39 at $90.31. Hog prices on the Daily 
Direct Morning Hog Report average $92.97, ranging from $88.00 to $97.00 on 
1,964 head and a five-day rolling average of $94.31. Pork cutouts total 142.17 
loads, with 122.58 loads of pork cuts and 19.59 loads of trim. Pork cutout 
values: up $1.12, $98.14.

   ShayLe Stewart can be reached shayle.stewart@dtn.com




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