DTN Closing Livestock Comments 12/09 17:02
Meat Futures Close Moderately Higher
The live and feeder cattle pits settled moderately higher, supported by
early week short covering and signs of strength in the wholesale beef trade.
Lean hog futures finished mostly higher with deferred attempting to recapture
some of the premium lost last week.
By John Harrington
DTN Livestock Analyst
Activity in the cash cattle arena was limited to the distribution of new
showlists. The country offering appears to be mixed, somewhat larger in
Colorado, Nebraska and Texas, but considerably smaller in Kansas. According to
the closing report, the Iowa hog base compared with the Prior Day's closing
weighted average is $1.96 lower ($67.00 to $78.75, weighted average $76.76).
Note that trade volume was extremely light (e.g., 637 head basis negotiated
carcass). Corn futures closed 3-4 cents higher, bolstered by solid export
inspections and positioning before Tuesday's USDA reports. The stock market
closed higher as Wall Street weighed when the Federal Reserve would begin
curbing its monetary stimulus. The Dow closed 5 points higher with the Nasdaq
better by 6.
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