Cattle Market Set for New Week of Trade

Cattle prices backed off on Friday after setting new contract highs and new all time highs for the lead month April earlier this week. At the close the market was 27 to 77 cents lower, with April still an $11.02 premium to the June (contract rolls off the board on Friday). USDA confirmed light Friday cash sales from $182 to $184 in NE. The bulk of the week’s trade was $174-177 in the South and $182-184 in the North. Feeder cattle futures ended the day mixed with the nearby contracts 10 to 72 cents higher, but the fall months down by triple digits. The CME Feeder Cattle Index was $201.31 on 4/13, up by another $1.54 increase. The last day to trade April feeders is next Thursday. 

CFTC’s latest data showed managed money was buying cattle futures and options through the week that ended 4/11. The 7.2k new longs took their net long to 92,021 contracts. The group also expanded their net long in feeder cattle by 1,234 contracts to 8,342. 

The Friday Boxed Beef report had Choice $2.20 stronger and Select 49 cents higher to $302.62 and $283.87 respectively. USDA estimated the week’s FI cattle slaughter at 613k head through Saturday. That is down from 638k head during the same week last year but is up 10k for the week. YTD slaughter trails last year’s pace by 2.9%. 

Apr 23 Cattle  closed at $174.750, down $0.750,

Jun 23 Cattle  closed at $163.725, down $0.775,

Aug 23 Cattle  closed at $162.700, down $0.550,

Apr 23 Feeder Cattle  closed at $203.400, up $0.725

May 23 Feeder Cattle  closed at $207.900, up $0.100

Sep 23 Feeder Cattle  closed at $227.600, down $1.125