Market Commentary

With no markets tomorrow for Good Friday, today is the final trading day of the week and Live Cattle futures pushed to new contract highs in coming months as the cash market jumped higher. Feeder Cattle futures continue to lead the complex and made new weekly highs late in the day today. Lean Hog futures finished the week lower and filled the chart gaps left last week. Corn futures could not find support from the sharply higher crude oil market today and finished mixed.

Live Cattle futures have now finished higher four days in a row and have gained nearly $10 over that span. Feeder Cattle futures have also finished higher each of the past four days and are now back near record levels. Lean Hog futures failed at overhead resistance and have finished lower the past two days after finding support from the Hogs and Pigs Report on Friday. Corn futures finished the day higher despite the USDA showing more corn acres than the pre-report estimates but still less acres than a year ago.

Live Cattle futures pushed higher today on limited bullish news and a steady cash market. Feeder Cattle traded to the highest levels since the beginning of the month as cash Feeder Cattle have began to move higher again. Lean Hog futures finished the day higher in all months except April after yesterday’s Hogs and Pigs Report. Corn futures finished the week lower despite crude oil pushing back towards the highs of the range.

Live Cattle futures finished the day mixed in the nearby contracts and higher in the deferred contract as the cash market for this week is still in question and boxed beef remains near $400. Feeder Cattle futures traded to the highest levels in over two weeks but finished the day well off of the highs. Lean Hog futures continue to see long liquidation affect the market ahead of this week’s Hogs and Pigs Report. Corn futures could not hold all of their gains into the close but still finished the day in positive territory.

Live Cattle futures recovered to end the week as traders waited for cash trade for the week and this afternoon’s Cattle on Feed Report. Feeder Cattle futures were sharply lower on Thursday and recovered some of those losses today as the CME Feeder Cattle index has found support. Lean Hogs traded to the lowest levels in two months as the managed money has been exiting the complex. Corn futures finished the week with small losses after recovering from the lows set early in the week.

Live Cattle futures have opened higher both days this week as cash expectations are for higher money. The CME Feeder Cattle index was quoted higher for the first time in over three weeks today, but is now at a discount to the March futures contract. Lean Hogs have turned in a quiet start to the week while the pork cutout remains supported. Corn futures finished the day mixed after a sharply lower day yesterday as traders worry about trade relations with China.

Live Cattle futures finished the week slightly lower as end of the week profit-taking brought selling at the end of the day. Feeder Cattle futures finished mixed as the nearby contracts continue to stay in line with the current cash fundamentals. Lean Hogs finished lower each of the final three days this week despite the pork cutout pushing to new highs this week. Corn futures had a volatile week and posted highs early Sunday night as crude oil continues to trade in big ranges.

Live Cattle futures have began the week with extreme volatility as outside factors weigh on the market while the fundamentals surrounding the complex actually improve. Feeder Cattle futures have also been volatile as the Corn market and equity markets have seen big swings. Lean Hog futures posted new contract highs in the deferred contracts as the nearby contracts stay in line with the current cash markets. Corn futures turned in one of the biggest ranges in recent history yesterday as the complex continues to follow an extremely volatile crude oil market.

Live Cattle futures fought off the negative outside influences most of the week but finished sharply lower today. Feeder Cattle futures turned in one of the most volatile weeks in recent history and could not fight off the higher Corn market. Lean Hogs posted new contract highs in the deferred contracts this week as the pork cutout continues to be supported. Corn futures finally found bullish momentum and followed the crude oil market higher this week.