DTN Closing Livestock Comment 05/21 16:08
Cattle Complex Bolts Sharply Higher
Live and feeder cattle contracts closed sharply higher thanks to aggressive
short covering in the face of large cash premiums and the pending May 1 on-feed
report. The lean hog pit settled mostly higher with spot June attracting most
of the buying interest.
By John Harrington
DTN Livestock Analyst
Another light round of cattle trading surface in the North with most dressed
deals marked at $252-$253, roughly $2-$3 lower than last week's weighted
average basis Nebraska. Signs of business interest in the South were few and
far between, suggesting that area activity could be done for the week.
According to the closing report, the Iowa hog base closed $0.11 lower compared
with the Prior Day settlement ($77.00-$80.00, weighted average $79.41). For the
most part, corn futures closed a solid nickel higher, boosted by decent export
sales and commercial buying interest. U.S. stocks closed modestly higher as
investors eyed slightly lower bond yields. The Dow closed fractionally higher
with the Nasdaq better by 19.
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