6/2/2026 Market Commentary

Live Cattle: Live Cattle futures spent the entire day lower but recovered nicely from their lows towards the end of the day. The Live Cattle fell victim to the Feeder Cattle complex that saw sharper losses the entire day. Cash trade has been limited up to this point of the week but there have been very small numbers traded in both the North and the South at 255. This would be nearly $2 below the weighted averages for last week. Boxed beef continues to be supported but seems to be under-performing compared to expectations. This morning, choice was up $0.98 to $393.81 and select up was $0.73 at $383.82. The choice/select spread has widened out to $9.99 after spending a couple months on either side of steady. Open interest continues to work lower and is now at just 345,000 contracts. The futures have quietly worked $15.000/cwt off of their highs and the managed money has lessened their net long position after being buyers since the first of March. Technically, Live Cattle futures have good support near today’s lows and it will be important to hold those areas going into the end of the week.

Feeder Cattle: Feeder Cattle futures traded sharply lower all day but posted their daily lows in the opening minutes this morning. The Feeder Cattle complex was spooked all day after a representative from the state of Texas tweeted out a press release that New World Screwworm was found just a mile from the Mexican and Texas border. This report turned out to be untrue, and the USDA confirmed that there were no reports of Screwworm that close to the border before the futures opened this morning. This prompted Secretary of Agriculture, Brooke Rollins to host a conference call at 12:15 central time to again talk about the United States response and actions in regards to Screwworm. Nothing new was said and no new developments were shared. It was confirmed on the call that the closest detection of Screwworm was 25 miles from the Texas border on May 30 and was found in a five year old goat. The CME Feeder Cattle index has began to work lower and was quoted at $364.26 down $2.88 through Monday’s sales. This is a decline of $9.14 in just two days. There have been very limited sales with limited volumes in the North. This means the index is made up of a larger percentage of southern Feeder Cattle, and with the wheat run over, the quality is becoming less as well. All of this has hurt the weighted average price that goes into the index.

Lean Hogs: Lean Hog futures opened the day steady but quickly pushed to new lows for the move and traded to the lowest levels since the beginning of December. The futures then changed paths and the nearby contracts found themselves back near the 20-day MA which has been resistance for the complex going back to the beginning of March. The cash and cutout markets have remained strong throughout the lower futures trade. The national cash average is at $93.86, up $0.63 compared to a week ago and the Iowa/Southern Minnesota average is at $94.32, up $0.51 in the last week. The pork cutout traded to the highest level since April 20 yesterday. Currently at $99.75, it has gained $3.49 since last week. The pork cutout traded through $100 for one day on April 20 and has been stuck between $95 and $97 since. Today’s higher close was just the third positive finish in the last thirteen trading sessions.

Corn: Corn futures pushed to new lows for the move today and the nearby July contract traded to the lowest level since February 2. Fund liquidation appears to be the culprit as the managed money were big sellers for the week ending last Tuesday and most likely were heavy sellers into the end of the week. Traders have lost faith in any sort of weather threat affecting production this year and have began liquidating positions that were put on at the inception of the war with Iran. This weekend’s lack of a peace deal between the U.S. and Iran has pushed crude oil futures higher both days this week, but that has not been able to trickle into the Corn market. Export shipments released yesterday showed another good week of Corn shipments. Currently, the U.S. is 5% ahead of the pace needed to reach the USDA export goal. Yesterday, the USDA released their first crop condition report. Corn is reported at 67% good to excellent which is 3% below the estimates before the report.

Closing Prices

Market Month Last Change
Corn July 440.50 3.50
CHI Wheat July 603.00 5.75
KC Wheat July 634.75 12.25
Soybeans July 1165.25 15.50
Soy Oil July 78.41 0.68
Soy Meal August 321.50 0.30
Live Cattle June 247.675 1.325
Feeder Cattle August 348.425 3.125
Lean Hogs June 95.700 0.675
Crude Oil July 93.65 1.49
Ch Cutout 393.81 0.98
Sel Cutout 383.82 0.73
Feeder Index 364.26 2.88
Pork Cutout 99.75 0.30
Dollar Index 99.198 0.0030
DOW 51,307 228
National Corn Basis -36.03 1.33
National Bean Basis -60.77 1.62

Dates to Remember

June 5- June Live Cattle Option Expiration

June 11- WASDE Report

June 12- June Lean Hog Expiration

Hog Fundamentals

Current One Week Ago Change One Year Ago Change
Lead Month Future 95.700 96.125 0.425 100.850 5.150
National Cash 93.86 93.23 0.63 95.40 1.54
Index 91.51 90.88 0.63 96.34 4.83
Cutout 99.75 96.26 3.49 106.75 7.00
IA/SMN Cash 94.32 93.81 0.51 96.45 2.13
IA/SMN Weights 291.10 291.30 0.20 288.00 3.10
Slaughter 2,143,000 2,316,000 173,000 2,150,313 7,313

Cattle Fundamentals

Current One Week Ago Change One Year Ago Change
North Cash 256.60 241.82
South Cash 256.95 231.12
North Steer Basis 9.00 14.67
Choice Boxes 393.81 392.25 1.56 366.00 27.81
Select Boxes 383.82 389.22 5.40 358.11 25.71
Spread 9.99 3.03 6.96 7.89 2.10
Carcass Weights 898 904 6 871 27
Slaughter 448,000 532,000 84,000 487,605 39,605
FC Index 364.26 371.49 7.23 301.13 63.16

Cash Cattle Markets

Region This Week Last Week Last Year
TX/OK/NM $256.95 $229.54
KS $256.95 $231.12
NE $256.60 $241.82
IA/MN $256.91 $240.22

CFTC Disaggregated COT Report

As of: 5/26/2026
Commodity Current Managed Money Change Current Producer/Commercial Change Total OI Total OI Change
Live Cattle 120,569 9,544 -161,769 13,213 345,724 97
Feeder Cattle 10,595 5,785 -6,125 4,335 58,366 199
Lean Hogs 12,985 20,728 -82,477 15,258 323,671 3,225
Corn 205,504 87,850 -537,998 66,559 1,873,546 11,996
Soybeans 189,552 18,252 -285,866 5,514 1,059,602 5,207

Live Cattle Markets

August Live Cattle found support at the 100-day MA today. Support is 236.825 followed by the 100-day MA of 236.700. Resistance is at the 20-day MA of 243.650 and then 243.875.

Feeder Cattle Markets

August Feeder Cattle finished the day above the 200-day MA. Support is at the 200-day MA 346.275 and then 344.275. Resistance is at 356.150 followed by 356.525.

Lean Hogs Markets

July Lean Hogs posted a new low for the move before reversing course and finishing higher. Support is at 98.300 followed by 96.600. Resistance is at the 20-day MA of 102.300 and the 102.375.

Corn Markets

July Corn traded to the lowest level since the beginning of February. Support is at 438 1/4 and then 436. Resistance is at 449 1/4 followed by the 100-day MA of 458 1/4.

This material should be construed as the solicitation of an account, order, and/or services provided by Producers Commodities LLC, NFA ID: 0355787 and represents the opinions and viewpoints of the author. It does not constitute an individualized recommendation or take into account the particular trading objectives, financial situations, or needs of individual customers.  Additionally, this material should not be construed as research material. The trading of derivatives such as futures and futures options may not be suitable for all investors. Derivatives trading involves substantial risk of loss, and you should fully understand the risks prior to trading. Past results are not necessarily indicative of future results. Producers Commodities LLC is not responsible for any redistribution of this material by third parties, or any trading decisions taken by persons not intended to view this material. Information contained herein was obtained from sources believed to be reliable, but its accuracy, timeliness, and/or completeness cannot be guaranteed. Contact designated personnel from Producers Commodities LLC for specific trading advice to meet your trading preferences or goals.

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