Cattle Futures Slide Amid Cash Price Declines
Live Cattle Contracts Decline as Cash Trades Retreat
Live cattle futures took a downturn on Tuesday, with traders opting to cash in profits. Contracts closed lower, dropping by $1.50 to $2.20. February live cattle deliveries remained absent for another day. In cash markets, trading began this week at $203 in the South, reflecting a $3 decrease compared to last week’s $206. In the North, prices also fell from $208 last week.
Feeder Cattle Also Under Pressure
Feeder cattle futures faced similar challenges, finishing down $2.50 to $3.12 at the day’s end. The CME’s Feeder Cattle Index recorded a value of $275.85 on February 10, up by 9 cents from the previous day.
WASDE Report Predicts Increased Beef Production
Today’s WASDE report revealed a notable increase in beef production for 2025, projecting an output of 26.565 billion pounds—an additional 775 million pounds overall. Most of this increase is anticipated in the latter half of the year, with a modest rise of 15 million pounds expected in the second quarter. The third quarter is projected to gain 215 million pounds, while the fourth quarter is set to increase by 545 million pounds.
Boxed Beef Prices Decline
The USDA’s National Boxed Beef report indicated a decrease in beef prices on Tuesday. The Choice/Select spread widened to $10.25 as Choice boxed beef fell by $1.04 to $322.46 per hundredweight, while Select was down $1.71 to $312.21. The USDA estimated that federally inspected cattle slaughter reached 122,000 head on Tuesday, with a week-to-date total of 217,000 head—down 20,000 from last week and 21,941 from the same week a year ago.
Live Cattle Futures Closing Prices
Feb 25 Live Cattle closed at $199.675, down $2.200.
Apr 25 Live Cattle closed at $196.000, down $2.125.
Jun 25 Live Cattle closed at $191.375, down $1.825.
Feeder Cattle Futures Closing Prices
Mar 25 Feeder Cattle closed at $264.775, down $3.125.
Apr 25 Feeder Cattle closed at $264.975, down $2.800.
May 25 Feeder Cattle closed at $263.675, down $2.650.
On the date of publication, Austin Schroeder did not hold any positions in the securities mentioned in this article. All information and data in this article is for informational purposes only. For more details, please refer to the Barchart Disclosure Policy here.
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