Written Commentary
MORNING LIVESTOCK FUTURES OUTLOOK
LIVE CATTLE COMPLEX
Live cattle futures trade volume was very light Friday with traders mostly liquidating ahead of the COF report.
The COF report was in line with expectations. Monday, the report will have little to do with how the market trades. It is a friendly report because there is not an increase and placements are again down. Feeder cattle should remain strong nearby but could have some pressure later into 2027 with 1 percent fewer heifers on feed. 8% fewer placements also shows that the Mexican feeder cattle exported to the US are having little affect. Placements were the lowest for September since the series began in 1996.
LEAN HOG COMPLEX
Traders last week were liquidating bear spreads. It may be an indicator prices are near a bottom.
The Cold Storage Report is friendly for cattle and bearish for hogs.
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