Cattle Futures Show Strong Gains Amid Mixed Beef Prices

Live cattle futures demonstrated significant gains at midday on Friday, rising between $1.80 and $2.20. Preliminary open interest increased by 5,453 contracts on Thursday, mainly concentrated in the August (3,801 contracts) and October (1,484 contracts) months. In the cash market, trade prices reached $218 in the South, with Northern offerings ranging from $222 to $224. Notably, some Nebraska lots declined $222 offers on Thursday.

Feeder cattle futures also surged around midday Friday, climbing between $2.00 and $3.37 per cwt. The availability of feeder cattle remains limited. On April 30, the CME Feeder Cattle Index rose by 33 cents, averaging $296.10.

Wholesale Beef Prices and Slaughter Estimates

According to USDA reports, National Wholesale Boxed Beef prices reflected a mixed trend this morning. The average price for Choice boxes decreased by 23 cents to $342.94, while Select products increased by $1.36 to $325.64 per hundred pounds. Additionally, federally inspected cattle slaughter was estimated at 120,000 head for Thursday, contributing to a weekly total of 465,000 head. This figure is 1,000 head lower than the previous week and down by 14,278 head compared to the same week last year.

Current Futures Prices

Jun 25 Live Cattle are priced at $211.475, reflecting an increase of $1.825.

Aug 25 Live Cattle are quoted at $206.825, up $2.175.

Oct 25 Live Cattle are at $204.550, gaining $2.325.

May 25 Feeder Cattle sit at $295.450, showing an uptick of $2.225.

Aug 25 Feeder Cattle are listed at $297.900, up $3.450.

Sep 25 Feeder Cattle are currently at $296.300, also gaining $3.450.

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.

The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.