Harold House with the Kansas City Trade Group reminds us that there is a Supply/Demand and Production report scheduled to be released today at 11 a.m. He gives a look at how the markets are shaping up this morning.
To hear Kansas City Trade Group’s Harold House talk with KMZU’s Mandy Young click below:
The cattle complex should start out with uneven price action, torn between cash premiums and technical bearishness. Look for hog futures to lack consistent direction as well thanks to spillover selling and pre-weekend profit taking.
Cattle: Cash-$2 Lower Futures: mixed Live Equiv. $140.04 + 0.44
While cattle trading in the South is probably done for the week, limited WTD movement in the North suggest that area buyers and sellers still have some work to do over the next several hours. Asking prices are around $128 on a live basis and $205 dressed. Live and feeder contracts are geared to open on a mixed basis as traders jockey ahead of late week cash news.
Hogs: Cash Steady-$0.50 Higher Futures: mixed Lean $96.31 + 1.45
Expect hog buyers to begin the week’s last round of procurement with steady/firm bids. Although Thursday enjoyed better country movement, we don’t think the extra leverage will solve the packer problem of tightening supplies for long. Saturday kill plans should involve close to 45,000 head. Lean futures should also star out with mixed trading in slow volume.
Grain markets are quietly mixed early Friday morning, ahead of the May round of USDA Supply and Demand reports. Soybeans extended this week’s rally, holding some of the selling in corn and wheat at bay.
Outside commodities were mostly lower with gold posting a sharp loss. Both the U.S. dollar index and Dow Jones Industrial Average futures were higher.