Explore Special Offers & White Papers from AFS

Cattle Futures Start Higher

Morning Livestock Outlook

On feed at 104% shows even with packers pushing kills up, it’s not up fast enough and weights higher than year ago, there are still plenty of cattle that need to be killed.

Placements at 106% is negative. There will be a lot of cattle to kill into December and into the first quarter of 2021 with 800 to 899 weighted cattle at 517,000 head followed with 700 to 799 pounders with 500,000 head.

Marketings at 106 percent shows packers are moving as many cattle through the kill lines as possible but with big heavy cattle the bulk of the cattle, and with big numbers coming up, kill needs to increase and with the  adapting to plant labor because of COVID

Packers pulled out of the market Friday and they may be light on cattle to kill this week. However, severe weather was predicted last week for the start of this week, buying fewer cattle was probably intentional.

The pork carcass cutout for the week was down 5.94 compared to close a week ago. Loins fell 7.26, bellies down 16.33, Butts fell 10.04, Ribs down 5.11 and Picnics down off 1.81.  Hams off 4 cents.  Hard to tell if hams and bellies have topped with big drop on Friday but these primals need to be monitored because they have been reason cutout has been up.

Click here for full report


Futures and options trading involve significant risk of loss and may not be suitable for everyone.  Therefore, carefully consider whether such trading is suitable for you in light of your financial condition.  The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM.  The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared.  The information provided is designed to assist in your analysis and evaluation of the futures and options markets.  However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.

Latest News & Market Commentary

Explore Special Offers & White Papers from Archer Financial Services

Get Started

Contact Us Today