Grain and livestock are higher to start Tuesday.
Brad Kooima, Kooima Kooima Varilek, says cattle are recovering headlines about Tyson Foods closing their Emporia, Kan. beef and pork plant in February 2025 and cutting 800 jobs hurt the market Monday.
Kooima says Tyson doesn’t slaughter any cattle at that facility as it is a corned beef plant so he doesn’t think it will have a major impact on the market.
That news also over shadowed another week of higher fed cash trade and strong cutouts.
Last week’s cash cattle trade was up over $3.50 on the 5 Area Weighted Average at just under $190 and he thinks the market will be higher again this week.
Feeder cattle futures have been on fire up $18 -$20 for the month of November with tight supplies, strong cash prices and the border shut to Mexican cattle due to New World Screwworm.
He says the border could be reopening before the end of the year and the feeder futures are overbought and due for a correction.
However, cash feeders may continue strong due to the tight supplies in the country.
Lean hog futures started higher with funds record long and adding to their position with help from higher cutouts.
Grains are also seeing a technical bounce early Tuesday after testing new lows in soybeans and Hard Red Winter wheat on Monday.
A lower dollar is also providing some support.
