DTN Midday Livestock Comments          10/29 11:49

   Keeping the Border Closed Pushes Cattle Contracts Higher

   After confirming that the U.S. does not intend to reopen the border to 
Mexican cattle imports any time soon, both the live cattle and feeder cattle 
contracts shot higher.

ShayLe Stewart
DTN Livestock Analyst

GENERAL COMMENTS:

   After much chaos and disarray, the cattle contracts are finally trading 
higher as news has spread that the US does not have a date on the table for 
reopening the U.S.-Mexico border for cattle imports. This was the news that the 
market needed to hear, as the uncertainty was crippling the market. No more 
cash cattle trade has developed following the light business that transpired 
earlier in the week. December corn is up 1/4 cent per bushel and December 
soybean meal is up $4.40. The Dow Jones Industrial Average is up 282.69 points 
and the NASDAQ is up 121.34 points.

LIVE CATTLE:

   The live cattle complex is finally trading higher as the market has received 
confirmation that, although Agriculture Secretary Brooke Rollins spoke with 
officials in Mexico last Friday, there is no date currently on the table to 
reopen the border, as New World screwworm remains a concern. This was the 
bullish news that the market needed to hear to trade higher following last 
week's catastrophic decline. December live cattle are up $4.72 at $231.37, 
February live cattle are up $5.92 at $230.02 and April live cattle are up $5.95 
at $220.30. This positive news has helped the spot December live cattle 
contract turn higher, and thankfully, now the contract is trading back above 
the market's 100-day moving average. No new trade has developed in the fed cash 
cattle market, following the light business that developed Monday afternoon. So 
far this week, there's been some cattle traded in the North at $360, which is 
$9.00 lower than the previous week's weighted average. There is a chance that 
if the board continues to trade higher than the fed cash cattle market may see 
prices better than what was traded on Monday. Asking prices range anywhere from 
$234 to $240 in the South and are still not established in the North.

   Boxed beef prices are higher: choice up $2.48 ($382.13) and select up $1.28 
($361.28) with a movement of 89 loads (54.11 loads of choice, 13.35 loads of 
select, 12.34 loads of trim and 9.48 loads of ground beef).

FEEDER CATTLE:

   The feeder cattle complex saw the headline it needed to see to begin to put 
fear behind it and again trade higher. Upon receiving confirmation that the US 
intends to keep its border closed and does not have a date pinned down for when 
it intends to see the border reopened to allow Mexican cattle to be imported 
into the U.S., the feeder cattle complex can now again breathe easy. November 
feeders are up $10.95 at $344.35, January feeders are up $11.75 at $336.57 and 
March feeders are up $11.20 at $330.85.

LEAN HOGS:

   Pork cutout values may be a tick higher, but the lean hog complex can't seem 
to muster up enough support to really move the contracts higher. December lean 
hogs are down $0.10 at $80.72, February lean hogs are down $0.07 at $82.37 and 
April lean hogs are down $0.22 at $86.65. The cash market will likely continue 
to trade lower as packers were extremely aggressive in Tuesday's market and 
won't likely need many more hogs ahead of the week's end.

   The projected lean hog index for 10/28/2025 is down $0.17 at $91.86 and the 
actual index for 10/27/2025 is down $0.24 at $92.03. Hog prices are lower on 
the Daily Direct Morning Hog Report, down $5.13 with a weighted average price 
of $83.63, ranging from $82.00 to $87.00 on 2,375 head and a five-day rolling 
average $87.90. Pork cutouts total 184.92 loads with 153.80 loads of pork cuts 
and 31.12 loads of trim. Pork cutout values: up $1.28, $101.30.

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




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