DTN Midday Livestock Comments          10/10 11:53

   Softer Equity Markets Push Livestock Contracts Lower

   The weaker equity markets may be negatively affecting the livestock 
contracts, but it hasn't poorly affected the cash cattle market, as some light 
trade is being reported at higher prices in the North.

ShayLe Stewart
DTN Livestock Analyst

GENERAL COMMENTS:

   It's a lower waning day for the livestock contracts as traders have noted 
the lower decline in the equity markets. This is not deterring the cash cattle 
market, as some light trade has recently been noted in the North at $362, which 
is $2.00 higher than last week's weighted average. December corn is down 4 1/4 
cents per bushel and December soybean meal is down $0.70. The Dow Jones 
Industrial Average is down 448.54 points and the NASDAQ is down 459.48 points.

LIVE CATTLE:

   The live cattle complex is trading slightly lower as traders have taken note 
of the equity market's decline amid ongoing turmoil with China. But even so, 
thus far the market's been able to maintain a relatively low decline, and 
fundamental support has been fruitful today as some early sales in the cash 
cattle market have been marked higher and as boxed beef prices are higher again 
today too. October live cattle are up $0.32 at $235.35, December live cattle 
are down $1.67 at $238.22 and February live cattle are down $1.80 at $241.60. 
The cash cattle market has still been mostly quiet, but some light trade has 
recently been reported in Nebraska at $362, which is $2.00 higher than last 
week's weighted average. I anticipate that the Southern plains will be able to 
trade cattle higher, too, as their showlists are slimmer than those in the 
North. Asking prices in the South are noted at $237 but are still not known for 
the North.

   Boxed beef prices are higher: choice up $1.05 ($366.27) and select up $2.67 
($347.00) with a movement of 82 loads (59.46 loads of choice, 14.40 loads of 
select, 2.93 loads of trim and 4.91 loads of ground beef).

FEEDER CATTLE:

   The feeder cattle complex is also trading lower as traders are skeptical of 
pushing the feeder cattle contracts any higher, given the fact that they're 
already trading at record high prices and that outside pressure has grown more 
troublesome. October feeders are down $2.15 at $371.90, November feeders are 
down $2.42 at $371.62 and January feeders are down $1.62 at $367.42. The market 
will likely keep this lower tone through the day's close, even though 
fundamentally, there's more than enough support in the marketplace.

LEAN HOGS:

   The lean hog complex is continuing to scale lower as there's not enough 
fundamental support in the market to comfort traders, and as the external 
pressures of the equity markets are affecting the hog complex too. October lean 
hogs are down $0.17 at $96.82, December lean hogs are down $0.35 at $84.00 and 
February lean hogs are down $0.47 at $86.20. Yes, pork cutout values are a tick 
higher this morning, but the market's support is a little too late to give much 
stability to traders.

   The projected lean hog index for 10/9/2025 is down $0.65 at $99.43 and the 
actual index for 10/8/2025 is down $0.62 at $100.08. Hog prices on the Daily 
Direct Morning Hog Report average $96.91, ranging from $90.00 to $99.00 on 
3,173 head and a five-day rolling average of $97.12. Pork cutouts total 202.65 
loads with 177.47 loads of pork cuts and 25.17 loads of trim. Pork cutout 
values: up $0.85, $103.49.

   ShayLe Stewart can be reached shayle.stewart@dtn.com




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