Hogs: Four days of gains have been made in cash hogs now. This is now a record cash hog price! Cash pork also put in new highs. We must note this new high is only for this recent uptrend in pork. They are still off the May highs. Futures have something else on their mind. Limit down corn prices can exert some influence over hog prices. Also, we have some concerns about Wednesday's Cold Storage report.
Cattle: Best bids were $109 today. That is still a wide difference from feedlot asking prices of $115 to $117. We still expect $1 to $2 higher cash cattle trade to develop. It simply appears as though cattle feeders are asking a bit too much…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.