Live Cattle Futures Surge as Cash Trade Gains Momentum
Cattle Markets Show Positive Trends Amidst Limited Cash Trade
Live cattle futures increased by 45 to 85 cents on Friday, building on a strong week with a total gain of $2.25 for February futures. This week, cash trade was slow, with Southern sales reported at $192-193, an increase of $1-2, and Northern sales hitting $196, up by $1. The Fed Cattle Exchange online auction on Friday morning from Central Stockyards revealed three lots sold, with two going for $192 live and another for $192.50 utilizing the BidTheGrid™ method. Additionally, feeder cattle futures ended the Friday session with contracts rising 45 cents to $2.07, while January futures gained $5.77 over the week. The CME Feeder Cattle Index reported a decrease of $2.55 from the previous day, standing at $258.38 as of December 26.
Recent Export Sales data revealed a total of 1,099 MT scheduled for 2024 delivery, along with 13,066 MT for 2025. Combined sales witnessed a notable increase of 22.29%, reaching 14,165 MT in the week ending December 19. Shipment totals reached 16,533 MT during this period, marking a 12-week high. South Korea was the leading destination, receiving 4,500 MT, followed by Japan with 3,400 MT and China with 3,000 MT.
The USDA reported higher wholesale Boxed Beef prices in their Friday afternoon update. Choice boxes rose by $1.99, reaching $322.38/cwt, while Select boxes increased by $2.36 to $291.13. The USDA estimated that federally inspected cattle slaughter totaled 434,000 head this week, down by 66,521 head compared to the same week last year.
Dec 24 Live Cattle closed at $193.500, up $0.725,
Feb 25 Live Cattle closed at $190.650, up $0.550,
Apr 25 Live Cattle closed at $193.350, up $0.750,
Jan 25 Feeder Cattle closed at $261.375, up $2.075,
Mar 25 Feeder Cattle closed at $260.550, up $1.050,
Apr 25 Feeder Cattle closed at $261.050, up $1.025.
On the date of publication, Austin Schroeder did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are 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.
