It is our belief that this rally in hogs is ending. We may not go right back down but certainly, need to see better news in this market quickly. December live cattle futures came within 15 cents of retesting the September 22 mini-price peak.
The United States moved to suspend trade benefits for South African farm products on Thursday, escalating a drawn-out dispute over U.S. chicken and meat exports.
Monday's lean hog 418,000 head kill was a little under our initial 428,000 head estimate. In live cattle, with larger showlists starting out the week, due to the lower volume of sales on Friday, the trade should take a negative view on cash cattle pricing.
