Cattle Heading Back Higher on Tuesday
Live cattle futures are trading with 67 to 90 cent gains in most contracts. Last week’s cash trade was reported at $200-201 in the South and live sales of $202 and a few up to $205 in the North. Feeder cattle futures are $1.02 to $2.825 higher across the nearby contracts. The CME Feeder Cattle Index was back down $1.25 from the day prior at $277.30 on January 10. The Weekly OKC feeder cattle auction showed 7,909 head sold, above the previous week. Sales were reported at $6-12 higher for feeder steers and calves, with feeder heifers up $4-8 and 10-13 higher for calves.
Commitment of Trader data showed spec funds adding 14,261 contracts to their net long in live cattle futures and options as of January 7 to a net long of 143,456 contracts. Managed money spec funds in feeder cattle were at a record net long of 26,384 contracts as of last Tuesday, a 4,455 contract increase on the week.
USDA wholesale Boxed Beef prices were mixed in the Tuesday AM report, with the Chc/Sel spread narrowing to $13.81. Choice boxes were down 70cents at $332.65/cwt, with Select $1.27 higher @ $318.84. USDA estimated federally inspected cattle slaughter for Monday at 117,000. That is 8,000 above last Monday and up 8,958 head from the same Monday last year.
Feb 25 Live Cattle are at $198.200, up $0.800,
Apr 25 Live Cattle are at $199.100, up $0.900,
Jun 25 Live Cattle are at $193.200, up $0.675,
Jan 25 Feeder Cattle are at $274.675, up $2.825
Mar 25 Feeder Cattle are at $269.025, up $1.125
Apr 25 Feeder Cattle are at $269.350, up $1.025
On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.