Futures to See Beef Export Demand

Cattle futures printed a strong Thursday session with the June contract leading the way. June fats were up nearly $6 at the close, and filled April’s expiration gap. The other front months were also 1.8% to 2.8% higher after the Thursday rally. The cash market on Thursday saw cattle trade hands from $175-180 in Texas and up to $188 in NE. USDA had the bulk price $5-$9 higher for the South and $3-$6 higher in the North. Thursday’s FCE auction had 916 head listed, with 146 heifers sold at $173.50 and 277 steers sold for $174.50. Feeder cattle futures also rallied on the first day of the new month, up by $2.47 to $3.30 at the close. The 5/31 CME Feeder Cattle Index was $208.07, up by 89 cents.  

Brazil shipped 168.5k MT of beef during the month of May. That was up 10% from last year’s volume. 

Choice boxes were up by 60 cents to $306.44 and Select boxes were 83 cents weaker at $286.32 according to USDA’s PM Wholesale Boxed Beef report. The rib primals were quoted at $447.09 cwt. and $389.84 cwt. respectively. USDA estimated the week’s cattle slaughter under federal inspection at 382,000 head through Thursday. That is down 5k head from last year and not comparable to last week due to Memorial Day. 

Jun 23 Cattle  closed at $174.900, up $5.775,

Aug 23 Cattle  closed at $172.375, up $4.700,

Oct 23 Cattle  closed at $175.875, up $4.100,

Aug 23 Feeder Cattle  closed at $241.650, up $2.475

Sep 23 Feeder Cattle  closed at $244.950, up $2.725

Oct 23 Feeder Cattle  closed at $246.975, up $2.850