Live Cattle Futures Increase Significantly, Slaughter Rates Decline

Market Trends in Live and Feeder Cattle

Live cattle futures gained between $1.60 and $2.075 on Thursday. Open interest increased by 3,745 contracts. Cash sales in the South ranged from $221 to $223, while the North saw transactions between $234 and $235.

At the Fed Cattle Exchange online auction Thursday morning, prices reached $222 to $225.50 on 773 out of 1,546 heads offered. Feeder cattle futures also rebounded, rising by $4.25 to $4.40, with preliminary open interest up by 1,650 contracts. The CME Feeder Cattle Index rose by $1.91 on May 28, averaging $297.75.

Wholesales and Slaughter Data

The USDA’s National Wholesale Boxed Beef report showed a rise on Thursday afternoon, with the Chc/Sel spread at $12.45. Choice boxed beef increased by 67 cents to $366.09, while Select beef was up $1.90 at $353.64 per cwt. The USDA reported a federally inspected cattle slaughter of 120,000 head on Thursday, bringing the weekly total to 355,000 head, down 18,778 from the same holiday week last year.

Closing Prices for Cattle Futures

Jun 25 Live Cattle closed at $215.525, an increase of $1.600.

Aug 25 Live Cattle closed at $210.075, up by $1.900.

Oct 25 Live Cattle settled at $208.150, up $2.075.

Aug 25 Feeder Cattle closed at $299.925, an increase of $4.300.

Sep 25 Feeder Cattle closed at $298.850, up by $4.375.

Oct 25 Feeder Cattle closed at $296.775, rising by $4.250.

On the date of publication, Austin Schroeder did not hold any positions in the securities mentioned. This article is for informational purposes only. 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.