Friday Market Watch

 LIVESTOCK:

It was an exceptional day for the livestock complex as the markets were able to close higher and Friday's Cattle on Feed report ended up being the icing on the cake for an outstanding week. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $5.85 with a weighted average of $88.89 on 3,588 head.

From Friday to Friday, the livestock futures scored the following changes: October live cattle up $3.53, December live cattle up $4.65; October feeder cattle up $1.47, November feeder cattle up $3.57; December lean hogs up $6.88, February lean hogs up $7.10; December corn down $0.05, March corn down $0.06.

Friday's slaughter is estimated at 122,000 head, 8,000 head more than a week ago and year ago. Saturday's slaughter is projected to be 42,000 head. This week's slaughter is estimated at 673,000 head, 13,000 head more than a week ago and 11,000 head more than a year ago.

Boxed beef prices closed higher: choice up $0.09 ($253.71) and select up $2.28 ($224.36) with a movement of 94 loads (48.55 loads of choice, 19.28 loads of select, 13.30 loads of trim and 13.19 loads of ground beef). Throughout the week choice cuts averaged $251.93 (up $5.62 from last week) and select cuts averaged $221.90 (up $7.16 from last week) with a movement of 675 loads of cuts, grinds and trim.

More: Friday Closing Livestock Market Update - December Live Cattle Closed at New Contract High

GRAINS:

December corn closed up 1/4 cents and July corn was down 1 cents. January soybeans closed up 4 1/2 cents and July soybeans were up 5 1/4 cents. December KC wheat closed down 1 1/2 cents, December Chicago wheat was up 1 1/2 cents and December Minneapolis wheat was down 1 cent. 

For the week:

December corn closed down 5 1/2 cents and July corn was down 7 1/4 cents. January soybeans ended up 11 3/4 cents and July soybeans were up 9 1/2 cents. December KC wheat closed down 4 cents, December Chicago wheat was down 9 cents and December Minneapolis wheat was up 7 1/4 cents.

DAIRY:

Milk futures made a valiant attempt to move higher earlier this week fueled by the strength of barrel prices. However, the rally was short-lived as has been the pattern for the past few months. If the market cannot break out of this pattern during this time of year, the price outlook for the rest of the year and into next year does not look very promising. Not only will milk prices have a difficult time trending higher, but higher food prices will also have an impact. Fluid milk demand has been stable with cheese and butter demand somewhat variable. The real concern will be once the greater part of holiday buying is finished; regular demand may not be supportive to the market. Cow numbers declined 2,000 head in September from the previous month according to the milk production report. The September Livestock Slaughter report showed dairy cattle slaughter down 4,000 head from September 2021 at 260,500 head and 5,600 head below August. Farms may have culled out much of what they wanted to prior to this time of year and/or they are holding onto cows due to increased feed supplies and relatively good milk prices.

More: Friday Closing Dairy Market Update - Cattle Slaughter Declines in September

FORAGE: This Week's Hay Markets Here (Forage Fodder Blog)

OUTSIDE MARKETS:

The December U.S. Dollar Index is trading down 0.60 at 112.22. The Dow Jones Industrial Average is up 590.06 points at 30,923.65. December gold is up $20.30 at $1,657.10, December silver is up $0.48 at $19.17 and December copper is up $0.0635. December crude oil is up $0.37 at $84.88, December ultra-low sulfur diesel is up $0.0899, December RBOB gasoline is up $0.0070 and December natural gas is down $0.383.