Hogs: Cash hog prices are showing a rebound. It appears the rising cash pork price has finally overcome the impact from last week’s slaughter plant closure. With that in mind, we still like this market’s prospects for summer pricing.
Cattle: There is a tone of disappointment showing up in cattle country. Cash cattle prices were steady early this week. Wholesale beef showed gains on Monday and Tuesday but were mixed on the midday beef report today. The export news, highlighted below, is good news and may help support prices temporarily. However, if this market decides to turn tail then do not stand in the stampede’s way. Remember, bear markets move lower quicker than bull markets can make price gains. Yesterday we noted talk from one customer that a packer had asked him to delay shipment on sold cattle for two weeks…Rich Nelson
Rich Nelson is Director of Research at Allendale, Inc. in McHenry, IL. Allendale is registered with the CFTC and NFA and is a member of the NIBA. www.allendale-inc.com.