Chicago | Reuters — Chicago Mercantile Exchange live cattle futures were mixed to firmer on Monday, supported by diminished supplies of market-ready cattle that should be reflected in the U.S. Agriculture Department’s monthly Cattle on Feed report, due Friday.
“It’s been a slow climb, but it’s also predicated on very large demand,” said Dennis Smith, commodity broker analyst at Archer Financial Services. “The numbers are not going to be there, down the road.”
CME October live cattle added 0.225 cent to close at 145.725 cents/lb., after reaching 146.275, the highest on a continuous basis since August 31, 2015 (all figures US$). December live cattle closed 0.075 cent lower at 150.9 cents/lb.
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CME feeder cattle futures, meanwhile, finished mixed. October feeders climbed 1.05 cent, to 182.3 cents/lb., and November feeders gained 0.775 cent, to 183.525 cents.
Boxed beef prices were mixed, with choice cuts adding five cents, to $252.45/cwt, while select cuts eased 76 cents, to $225.89/cwt, USDA said.
Cash cattle traded steady the end of last week around $143/cwt in the northern U.S. Plains and $142 in the southern Plains, USDA said.
Meanwhile, CME lean hog futures were mostly higher, as traders expect hog herd size to continue to lag heading into the fall.
“There’s a lot of things coming into play,” said Smith. “Fewer hogs than expected in these fall hog runs, maybe an overcount on the latest hog and pig report.”
October lean hogs lost 0.425 cent, to 96.475 cents/lb., while the most-active December hogs firmed 0.18 cent to 88.15 cents/lb.
The lean hog index, a two-day weighted average of cash hog values, last firmed by 20 cents, to 97.97 cents/lb.
USDA quoted the U.S. pork carcass cutout value at $105.88/cwt, down 51 cents from Friday.
— Christopher Walljasper reports on agriculture and ag commodities for Reuters from Chicago.
