Robin Schmahl

The cattle complex appeared to be struggling with new lows again on Monday. Some liquidation is taking place. Hogs held and continue to build support.

Cattle futures continue to struggle Thursday as demand remains lackluster and cash prices move lower. Hog futures show exceptional support as pork packers remain aggressive.

Live cattle futures broke below support, adding to the already negative market so far this month. Feeder cattle futures are on their way to do the same. Hogs held onto the strong gains from Wednesday as fundamental support improves.

Cattle futures could not catch a break on Friday, with new lows in live cattle and support being penetrated in the October, December, and February contracts. Hog futures continued the rally, with August and October posting triple-digit gains on friendly fundamentals.

Cattle finally found sufficient support to result in a higher close. The oversold market likely triggered short-covering. Hog futures were mixed, but maintained the recent gains as traders have turned more optimistic over demand.

Cattle futures failed in their attempt to extend the strong gains of Monday. Higher prices could not hold, with futures closed $1.00 or more off their highs. Hog futures closed with minor gains, keeping the uptrend intact.

Cattle futures plummeted on Wednesday after the slight bounce on Tuesday. Packers are bidding lower as expected. Hog futures continued to find support with higher highs and higher lows on Wednesday. The uptrend remains intact.

Much of the trading activity in cattle futures on Thursday was positioning ahead of the Cattle on Feed report Friday. Lower cash had been factored in and was not a focus. Hog futures closed mixed as traders determined whether there will be continued fundamental strength.

Cattle futures closed higher on Friday as traders had positioned themselves before the Cattle on Feed report. The report was neutral and will likely have limited influence on the market.

Cattle traders did not like the news of the U.S. border reopening for cattle imports. Deferred feeder cattle futures locked limit down by the close. Hog futures were under pressure from the beginning as the market seems to be correcting from being overbought.