Livestock producers: Extend feed coverage... We advise livestock producers to cover through May for corn and soymeal needs in the cash market. The recent pullback in corn appears to be overdone with a correction higher possible. Meal futures have fallen near value levels and key technical support. Meal demand has held up well considering the record crush pace, indicating firm fundamental support. You were previously hand to mouth on feed coverage but now have coverage in cash through the end of the month.
Hogs
Price action: June lean hog futures fell $0.325 to $99.375, nearer the daily low and hit a 4.5-month low.
Fundamental analysis: The lean hog futures market saw some more mild technical selling pressure today. The near-term technical posture for June hogs remains bearish. Prices are in a downtrend on the daily bar chart.
The latest CME lean hog index is up 9 cents at $91.19. Friday’s projected cash index price is down 17 cents at $91.02. The national direct five-day rolling average cash hog price quote today is $94.82. The noon report today showed pork cutout value up $1.35 at $96.45, led by gains in butts and picnics. Movement at midday was decent at 186.16 loads.
USDA reported net pork sales of 30,800 MT for 2026, down 33% from the previous week and 6% from the four-week average.
Technical analysis: June lean hog futures bears have the overall near-term technical advantage. Prices are in a downtrend on the daily bar chart. The next upside price objective for the hog bulls is to close June futures prices above solid chart resistance at $105.00. The next downside price objective for the bears is closing prices below solid technical support at $95.00. First resistance is seen at this week’s high of $101.95 and then at $103.00. First support is seen at today’s low of $98.90 and then at $98.00.
What to do: Get current with feed coverage.
Hedgers: You have 50% of Q2 production hedged with all remaining risk in the cash market.
Feed needs: You should have all your soymeal and corn-for-feed needs covered in the cash market through May. Be prepared to make additional purchases.
Cattle
Price action: June live cattle fell $3.425 to $250.05, near mid-range and hit a two-week low early on. May feeder cattle lost $6.075 to $366.325, nearer the daily low.
Fundamental analysis: The live cattle futures markets saw more profit-taking pressure today as trading has turned choppier at higher levels. Some modest risk aversion in the general marketplace today did keep the cattle market bulls on the sidelines.
USDA at midday today reported light cash cattle trading taking place at an average price of $255.76 for steers and $255.49 for heifers. USDA Monday reported last week’s average cash cattle trading price at $255.02. That’s $8.84 above the prior week’s average cash cattle price. The noon report today showed wholesale boxed beef cutout values lower. Choice-grade was down $2.04 at $387.58, while Select-grade fell $4.55 to $385.05. Movement at midday was decent at 72 loads. The Choice-Select spread at midday today was plus $2.50.
USDA this morning reported U.S. beef export sales of 10,000 MT for 2026, down 27% from the previous week and 32% from the four-week average.
Technical analysis: Cattle futures markets bulls have the firm overall near-term technical advantages. The next upside price objective for the live cattle bulls is to close June futures above resistance at the contract high of $256.625. The next downside technical objective for the bears is closing prices below solid technical support at $240.925. First resistance is seen at $252.50 and then at $255.00. First support is seen at today’s low of $246.925 and then at $245.00.
The next upside price objective for the feeder bulls is to close August futures prices above technical resistance at the contract high of $379.45. The next downside price objective for the bears is to close prices below solid technical support at $360.00. First resistance is seen at today’s high of $372.675 and then at this week’s high of $374.875. First support is seen at this week’s low of $364.00 and then at $362.00.
What to do: Cover corn-for-feed and soymeal needs through May 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 and soymeal for feed needs covered in the cash market through May. Be prepared to make additional purchases if value prices continue.