News That Avian Flu is Back

MORNING LIVESTOCK FUTURES OUTLOOK

CATTLE COMPLEX

February 2026 live cattle on January 16, 2026 closed .33 under the 5 day average negotiated cash steer price.  Cold temperatures starting finally for plains up into northern Midwest will slow feed conversions.

If the new world screw worm isn’t enough to push live cattle and feeder cattle lower, then there is news on Friday that avian flu is back .

 

April LC/LH spread chart on 1.20.26 by eSignal

 

LEAN HOG COMPLEX

There is a month before February expires and a lot of time to have the index and futures converge, but the wide bear spread is giving an good opportunity to use the April as a short hedge.  More hogs are expected in 2026 and the futures moving higher are speculators trading in a non-spot month and driving hogs.

Lean hogs are gaining on cattle going the opposite of a bearish Hogs and Pigs report and a friendly Cattle on Feed report.

 

 >>Read full report here

 

 

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