Cattle futures have been mostly untradable for the past month though yesterday’s session provided some great intraday opportunities. Cattle are looking to open today’s session steady, but could see a lid on prices with headlines risk looming over the long weekend. Yesterday afternoon, we got news that Smithfield Food's Sioux Falls pork plant had 80 Covid-19 cases and would be shutting down. These are the type of headlines that will keep buyers on their heels a bit, both lean hogs and cattle. Early indications for the lean hog open is limit down.
Hopefully we can see cattle continue to stabilize in the coming sessions and we can see technicals comeback into play. Lean hogs still have a little more convincing to do before we are able to rely on technicals again.