Cattle Shoot Higher on Monday

Cows in pen looking at camera

Live cattle are recovering from last Friday’s drop, as contracts are up $1.60 to $2.85 on Monday so far. Cash trade last week was reported @ $182 in the South, a $2 drop on the week, with Northern action also weaker at $293-295 in the beef (down $2-3) and $184-185 live. Feeders are the leaders, with gains of $2.30 to $4.60 at midday.  The CME Feeder Cattle index on April 11th was back up 97 cents to $244.57. 

Friday afternoon’s Commitment of Traders report confirmed the sped long exit from the last couple weeks, with managed money’s net long down a large 16,305 contracts during the week of 4/9 at 36,976 contracts.

USDA’s Wholesale Boxed Beef prices were higher in the Monday AM report. Choice was up 54 cents to $301.11, with Select 25 cents higher at $295.79. That widened the Chc/Sel spread a little to $5.33. Last week’s USDA estimated cattle slaughter was pegged at 603,000 through Saturday. That was a 10,000 head drop from the previous week and was down 8,000 head from the same week last year. Production was tallied at 509.8 million lbs, still 2% larger than last year on heavier carcasses.

Apr 24 Live Cattle  are at $180.775, up $1.875,

Jun 24 Live Cattle  are at $174.175, up $2.700,

Aug 24 Live Cattle  are at $171.625, up $2.875,

Apr 24 Feeder Cattle  are at $239.900, up $2.300

May 24 Feeder Cattle  are at $238.875, up $4.675

Aug 24 Feeder Cattle  are at $250.125, up $4.625

On the date of publication, Alan Brugler 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.