Hogs
Price action: October lean hog futures fell $0.325 to $83.45, nearer the daily low.
Fundamental analysis: The lean hog futures market saw some more mild profit-taking and chart consolidation today, after recent good gains that do suggest the futures market has bottomed out. The latest CME lean hog index rose 27 cents to $90.85. Friday’s projected CME index price is up another 23 cents at $91.08. The national direct five-day rolling average cash hog price quote for today is $89.44. The USDA’s noon pork report today showed cutout value was down $2.77 at $92.85, led by a $23 loss in bellies. Movement at midday was 113.05 loads.
USDA this morning reported U.S. pork export sales totaled 35,000 MT for 2026 during the week ended Aug. 27, down 10% from the previous week but up 8% from the four-week average.
Technical analysis: October lean hog futures bulls still have some momentum after recent chart action suggests a near-term market bottom is in place. The next upside price objective for the hog bulls is to close October futures prices above solid chart resistance at $86.00. The next downside price objective for the bears is closing prices below solid technical support at $80.00. First resistance is seen at this week’s high of $84.90 and then at $86.00. First support is seen at this week’s low of $81.975 and then at $81.00.
What to do: Get current with feed coverage.
Hedgers: You currently have all risk in the cash market.
Feed needs: You have corn-for-feed and soymeal needs covered through September in the cash market. Be prepared to make purchases if value prices continue.
Cattle
Price action: October live cattle rose $4.125 to $214.30, nearer the daily high. November feeder cattle rose $6.95 to $315.30, nearer the daily high.
Fundamental analysis: The cattle futures markets today saw solid short covering and perceived bargain buying by the speculators. Both markets closed at nearly two-week high closes that begin to suggest near-term market bottoms are in place. October live cattle futures continue to trade at a discount to the cash cattle market, which is supportive for futures.
USDA at midday today reported active cash cattle trading so far this week, at $217.91 for steers and at $218.14 for heifers. The agency said cash cattle trade last week averaged $219.25. The noon report today showed lower boxed beef prices, with Choice grade down $1.48 at $377.30 and Select grade down $2.58 at $351.00. Movement at midday was 72 loads. The Choice-Select spread is presently plus $26.30.
USDA this morning reported U.S. beef export sales totaled 12,900 MT for 2026 during the week ended Aug. 27. Net sales were up 41% from the previous week but down 2% from the four-week average.
Technical analysis: The next upside price objective for the live cattle bulls is to close October futures above resistance at $220.00. The next downside technical objective for the bears is closing prices below solid technical support at $205.00. First resistance is seen at today’s high of $215.45 and then at $216.95. First support is seen at the August low of $209.525 and then at $208.00.
The next upside price objective for the feeder bulls is to close November futures prices above technical resistance at $325.00. The next downside price objective for the bears is to close prices below solid technical support at $300.00. First resistance is seen at today’s high of $317.75 and then at $320.00. First support is seen at $310.00 and then at the August low of $304.15.
What to do: You have corn-for-feed and soymeal needs covered through September in the cash market. Be prepared to make additional purchases.
Hedgers: Carry all production risk in the cash market for now.
Feed needs: You have corn-for-feed and soymeal needs covered through September in the cash market. Be prepared to make purchases if value prices continue.