DTN Closing Livestock Comment 02/27 16:20
Beef Futures Close Weak to Mostly Higher
At the conclusion of a choppy session, live and feeder cattle contracts
closed mostly higher with nearby contracts attracting the most buying interest.
Lean hog futures settled moderately lower with only a few late-summer issues
finishing in the red.
By John Harrington
DTN Livestock Analyst
The cash cattle trade generally remained very slow through late afternoon,
despite the fact that short-bought packers need to cover immediate kill needs.
Some dressed sales in the North have been reported as high as $254.00,
steady/weak with last week's weighted average basis Nebraska. Generally
speaking, trade volume totals look very small, suggesting that buyers could
keep trying to buy cattle late this afternoon. On the other hand, packers could
start out on Monday extremely close to the knife. According to the closing
report, the Iowa hog base closed $0.12 lower compared with the Prior Day
settlement ($57.00-$68.00, weighted average $66.26). The corn market settled
generally $0.04 higher, supported by spillover bullishness from the wheat pit.
The stock market closed modestly lower on the last trading day of February,
lightly pressured by a general dearth of fresh market news. The Dow closed 81
points lower, with the Nasdaq off 24. From Friday to Friday, livestock futures
scored the following changes: Feb LC, Up $1.30, Apr LC, Up $3.18; Mar FC, Up
$2.85; May FC, Up $2.60; Apr LH, Up $0.07: May LH, Up $2.60.
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