DTN Midday Livestock Comments 06/21 12:05 Firm Gains Holding Across Cattle Trade Strong buyer interest has quickly developed in feeder cattle markets Wednesday morning. This has sparked renewed follow-through support across the entire complex, which may help to draw additional support through the entire livestock market. By Rick Kment DTN Analyst GENERAL COMMENTS: Mixed trade is seen through livestock trade as trade volume has slowed through the entire complex. There may be some additional late day shifts developing through the complex, but the moves seen in the complex continue to bring additional market activity back into the market and could spark some additional support to the cattle complex through the end of the week. Corn prices are mixed in light trade. July corn futures are 1/4 cent lower. Stock markets are mixed in light trade. The Dow Jones is 56 points lower while Nasdaq is up 30 points. LIVE CATTLE: Light to moderate gains are holding at midday following a mixed session with prices moving back and forth on either side of unchanged for most of the morning. The strong support in feeder cattle markets are helping to draw increased support to front month June contracts, while the rest of the complex has been limited to very narrow moves at midday. Light trade volume is expected to be seen through the rest of the session. Cash cattle markets developed with activity on the Fed Cattle Exchange Auction report today listed a total of 2,148 head, with 457 actually sold, 1,369 head listed as unsold, and 322 listed as PO. The state by state breakdown looks like this: KS 304 total head, with zero head sold, 174 head unsold and 130 head PO; NE 904 total head, with zero head sold; TX 553 total head, with 282 head sold at $123.00, 79 head unsold, and 192 head listed as PO; CO 91 total head, with 0 head sold; IA no test; other states 296 total head, with 175 head sold (SD) at $123.00, and 121 head unsold (OK). The weighted average is $123.00. Feedlot activity remains generally sluggish with moderate bids in the North at $122 live basis and $196 dressed. A few sales have been reported in the South through the morning at $123. This is $8 lower than last week's business. More active trade is likely to develop through the rest of the week, but may be delayed until Friday. Beef cut-outs at midday are lower, $0.19 lower (select) and down $0.96 per cwt (choice) with light movement of 83 total loads reported (39 loads of choice cuts, 27 loads of select cuts, no load of trimmings, 17 loads of ground beef). Firm buying support is still holding across feeder cattle futures. Even though traders have backed away from triple-digit gains seen early in the complex, the move continues to be based on short covering activity and the expectation that additional commercial interest may continue to develop through the rest of the market. Nearby gains are holding $1 to $1.50 per cwt at midday although volume remains light through the end of the end of the morning. LEAN HOGS: Mixed trade is seen across the lean hog futures complex as traders remain focused on nearby summer contracts with increased buyer activity moving into July contracts. This is pushing front month contracts to near $86 per cwt with traders focusing on additional fundamental support through the month of June. Pressure in deferred contracts remain the focus of most other traders, although losses are limited due to the stability in strong cash and pork values. Cash prices are lower on the National Direct morning cash hog report. The weighted average price fell $0.87 at $85.89 per cwt with the range from $85.00 to $87.50 on 6,550 head reported sold. Cash prices are lower on the Iowa/Minnesota Direct morning cash hog report. The weighted average price fell $0.92 at $86.57 per cwt with the range from $85.00 to $87.50 on 3,510 head reported sold. The National Pork Plant Report reported 264 loads selling with prices gaining $2.78 per cwt. Lean hog index for 6/19 is at $86.55 up $1.23 with a projected two-day index of $86.03 up $1.48. Rick Kment can be reached at email@example.com (ES) Copyright 2017 DTN/The Progressive Farmer. All rights reserved.