Cattle Rally to Close Out the Week
Live cattle futures got some help from a higher cash market on Friday, with gains of $3 to $4. April was up $7.625 on the week. Cash trade came in this week at $196-198 in the south. Northern trade was slower, with sales at $200-202 on Friday. This morning’s online Fed Cattle Exchange auction from Central Stockyards, a sale on one of the two lots listed at $203 using their BidTheGrid™ method. Feeder cattle were up $2.95 to $4.50 across most contracts at the close with March up $2 this week. The CME Feeder Cattle Index was down another $2.32 on March 6, with the average price at $273.77.
Speculators in live cattle futures and options were trimming back their net long as of March 4 by 10,843 contracts to 110,468 contracts. In feeder cattle, managed money was adding 736 contracts to their net long at 28,880 contracts by last Tuesday.
Friday afternoon’s National Wholesale Boxed Beef prices were higher, with the Chc/Sel spread narrowing to $9.10. Choice boxes were back up $1.78 at $314.90/cwt, with Select $2.29 higher at $305.80. This week’s Federally inspected cattle slaughter was estimated at 578,000 head by the USDA. That is 12,000 head above the previous week, but still down 5,995 head from the same week last year.
Apr 25 Live Cattle closed at $200.275, up $4.000,
Jun 25 Live Cattle closed at $196.475, up $3.850,
Aug 25 Live Cattle closed at $194.350, up $3.375,
Mar 25 Feeder Cattle closed at $276.975, up $2.950,
Apr 25 Feeder Cattle closed at $278.150, up $3.725,
May 25 Feeder Cattle closed at $278.200, up $4.350,
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.