Mixed Trends in Live Cattle Futures as Markets Adjust
Cattle futures experienced a varied day in trading on Tuesday, with some contracts seeing modest declines while others increased. Cash trade from last week ranged between $200-201 in the South, while Northern sales were reported at $202-205.
Feeder Cattle Developments
In feeder cattle markets, nearby January contracts rose by 90 cents, but other contracts fell between 80 cents and $2.20. The CME Feeder Cattle Index decreased by 90 cents from the previous day, now sitting at $278.02 as of January 20. Notably, Monday’s Oklahoma City (OKC) Feeder Cattle auction recorded sales of 7,205 head, indicating a mixed trend: heavier feeder steers were $2-4 lower, lighter steers gained $1-4, and feeder heifers remained steady to $5 lower. Meanwhile, calves showed stability or increased by up to $4.
Boxed Beef Price Fluctuations
The USDA’s wholesale Boxed Beef report for Tuesday reflected mixed results, with the Choice/Select price spread narrowing to $12.50. Choice boxes declined by $1.11, bringing the price to $332.05 per cwt, while Select boxes increased by 11 cents to $319.55. The USDA reported that federally inspected cattle slaughter on Tuesday reached 124,000 head, accumulating to a weekly total of 239,000 head. This figure is down by 3,000 head from last week but up by 2,404 head compared to the same week last year.
Closing Prices for Cattle Futures
Feb 25 Live Cattle closed at $197.050, up $0.300,
Apr 25 Live Cattle closed at $197.325, down $0.175,
Jun 25 Live Cattle closed at $192.650, up $0.450,
Jan 25 Feeder Cattle closed at $274.400, up $0.900,
Mar 25 Feeder Cattle closed at $267.250, down $0.800,
Apr 25 Feeder Cattle closed at $266.475, down $1.650.
On the date of publication, Austin Schroeder did not hold positions (directly or indirectly) in any of the securities mentioned in this article. All information and data in this article are provided solely for informational purposes. For further details, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
