Written Commentary
MORNING LIVESTOCK FUTURES OUTLOOK
FEEDER CATTLE
The USDA COF report is negative feeder cattle futures. Feeder futures are trading above the index. Who knows with the light volume next week, it is possible but probably not likely to see the new CME margin limits tested.
LIVE CATTLE
It appears packers are purposely reducing this week’s kill. Killing fewer head has helped to keep beef prices from falling. They can keep lighter cattle in the feedlot. The spread between choice and select shows they want the higher grading choice cattle and the heavier cattle that last week brought the top premium prices.
LEAN HOGS
Compared to Friday June 14th the CME Lean Hog Index was down $1.99. The CME pork cutout index Friday $99.03. The 5 day average for loins was down $2.09 and hams were down 5 cents. Bellies were down on the 5 day average $8.26 compared to a week ago. Federal hog slaughter was up 39,000 hogs and year to date slaughter is up 554,353 hogs. Exports down 34% on the 4 week average likely disappointing to traders.
>>Read full report here
Interested in more futures markets? Explore our Market Dashboards here
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
