Hogs: The kill so far this week is only running 2% lower than last year. That is far different than the 6% to 8% lower pace seen almost continuously since July. This is evidence the recent Hogs and Pigs report is right on track so far. Cash hogs and cash pork prices are falling.
Cattle: Early Wednesday afternoon we saw cash cattle trading become active in Kansas. Prices were $2 lower at $95. This is now the lowest cattle have traded since mid-August. It is also particularly concerning when you consider breakeven prices on these cattle are close to $100…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.
