DTN Ag Host Midday Livestock

Strong triple-digit losses in live cattle and feeder cattle trade Thursday morning have focused on a combination of issues, all pointing to a jittery market at previous price levels. News of workers at the JBS plant in Greeley, Colorado, planning to strike seemed to be the major point of focus through the morning. This will affect about 5,000 head of cattle processed daily by the plant. Given the current structure, it is not unlikely any committed cattle can be absorbed into the system. But the focus on plants readjusting positions seems to be focusing on long-term plant viability given the extensive negative margins in the processing industry at this point. This market shift is not only affecting live cattle trade but is pushing feeder cattle futures sharply lower. Light pressure is seen in lean hog market, based primarily on weakness in outside markets Thursday. March corn is up 4 1/2 at $4.34 and March soybean meal is up $7.70 at $303.9. The Dow Jones Industrial Average is down 406.44 at 49,094.86.