DTN Closing Livestock Comment 06/28 16:16
Cattle Futures Surge Higher in Late-Day Trade
Strong late-day gains developed across cattle futures. This, following
recent market pressure, created widespread volatility over the last two trading
sessions. Uncertainty abounds through the entire complex as traders head into
the end of the week with the majority of cash cattle yet to trade. Hog futures
firmed at the end of Wednesday on strength in pork values.
By Rick Kment
Cash cattle trade started to develop in feedlot country late Wednesday
morning with a few deals in the North; dressed bids of $190 to $191 per cwt.
There were a few live bids at $117. Generally, asking prices should become more
focused Thursday as traders concentrate on ending the month and getting ready
for the upcoming holiday weekend. The Fed Cattle Exchange Auction report
Wednesday listed a total of 2,554 head, with 480 actually sold, 1,868 head
listed as unsold, and 206 head listed as PO. The state-by-state breakdown looks
like this: Kansas 384 total head, with 100 head sold at $119.00, 159 head
unsold and 125 head PO ($119.50); Nebraska 1,428 total head, with 160 head sold
at $120.00, and 1,268 head unsold; Texas 536 total head, with 220 head sold at
$119.75, and 316 head unsold; Colorado 81 total head, all listed as PO
($117.00); Iowa 125 total head, all unsold; other states, no test. The weighted
averages were: 1-9 day delivery 320 head, with a weighted average of $119.51;
1-17 day delivery 160 head, with a weighted average of $120.00. According to
the closing report, the national hog base is $0.22 lower compared with the
Prior Day settlement ($81.00-$87.50) weighted average $85.59. Corn futures
moved lower Wednesday in light activity. July futures were 2 cents lower. The
Dow Jones Index is 143 points higher with the Nasdaq up 87 points.
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