Hogs

• December hog futures finished slightly higher, extending Friday’s strong close, though prices continue to hold within the recent trading range. Last week’s slaughter numbers were the largest since May, but still fell short of the same week last year. Cash hog values weakened on Friday.
• December contracts are now pressing against the 50-day moving average resistance at 83.80. A close above this month’s peak of 85.45 would be needed to open the door for another upward move. Pre-Labor Day demand could be helping to support the market, while open interest has dropped to its lowest point since late May.
• CME Lean Hog index as of August 14 was 109.80, down -.03 for the day and down -.45 versus a week ago. The USDA estimated hog slaughter came in at 481,000 head Monday.

Grains

• Dec corn is down 4. November beans are down half a penny The equities are mixed. Gold is higher, and copper is lower.
• Pro Farmer Crop Tour scouts released findings for South Dakota and Ohio yesterday. In South Dakota, corn yields were estimated at 174.2 bpa, up 11% from last year and 21% above the three-year tour average. Soybean pod counts also came in strong, rising 16% year over year.
• In Ohio, corn yields were pegged at 185.7 bpa,  edging the previous high of 185.1 bpa from 2021. That figure is 1.3% higher than last year and 2.9% above the three-year average. Soybean pod counts in Ohio showed more modest gains, up 4.7% compared to 2023.
• US corn conditions edged slightly lower last week. As of Sunday, 71% of the corn crop was rated good to excellent nationally, down from 72% the prior week but well above the five-year average of 62%. The rating was the second highest for the week in the last ten years, trailing only 2016. Within the Corn Belt, KY, MI, and OH have below-average ratings.
• Soybean conditions held steady at 68% good to excellent, also well above the five-year average of 62%. Throughout the Corn Belt, IL, MI, and OH have below-average ratings. The USDA estimates that 82% of the crop is setting pods.

Cattle

• Live cattle closed higher, but feeder prices were even stronger, with most of the months hitting new contract highs. The lack of a Mexican border opening announcement on Friday was seen as bullish and no date was given for a reopening.
• Cutout values have been very strong lately. Slaughter last week was very small, down 12% from this week a year ago. The bulls march on in this market.
• The USDA estimated slaughter came in at 100,000 head Monday. This was down from 103,000 last week and down from 118,487 from a year ago.
• This market has been extremely volatile lately which many people are calling for a top on this market, but with no border reopening and continued tight supplies a top in this market is in question for a while.

Weather

• Rains were heavy again in the northern belt over the past 24 hours, with some scattered action down into the WCB and Plains as well; another lighter system will move through the belt from NW to SE later this week before a drier Midwest pattern emerges for the extended maps. Rain chances will move south/southwest up into early Sept, with temps below-normal throughout.