Livestock markets struggle as lean hogs hit 15-month lows and cattle futures face technical selling, pressured by weak wholesale values and broader economic headwinds impacting consumer confidence.
Lean hog futures tumbled to a 15-month low amid ample pork supplies, weak wholesale pork values, and bearish technical action.
Live cattle futures closed the week sharply lower with bearish technical momentum, despite a mildly supportive cattle-on-feed report.
Feeder cattle futures posted a technically bearish weekly low close, pressured by rising input costs and weak replacement demand.
Livestock futures faced significant selling pressure last week, with lean hogs hitting 15-month lows amid ample supplies and weak wholesale demand. While the USDA's latest cattle-on-feed report offered some support, bearish technical momentum and rising input costs continue to weigh on the sector. Traders remain cautious as high interest rates and elevated fuel costs threaten consumer beef and pork demand.
Lean hog prices are pressured by ample pork supplies, weak wholesale values, and increased competition from cheaper alternative protein sources like chicken.
The report showed August placements were the lowest since 1996, which is technically bullish, but the market largely ignored this due to broader bearish technical trends and weak boxed beef demand.