Cattle Close Mostly higher on Tuesday

Live cattle futures put on a rally on Tuesday, with contracts up $1.30 to $2.40 at the close. Cash trade has kicked off at $195 in the south on Tuesday with light trade. Last week’s sales were reported at $197 in the south and light $198-199 trade in the North. Feeder cattle futures were up 40 to 80 cents in some front months, with March down 17 cents at the close. The CME Feeder Cattle Index was back down $1.83 on Monday, with the average price at $278.75. 

In response to President Trump’s additional 10% tariff on Chinese goods, China has issued a 10% tariff on imports of US beef. Canada has also issued 25% tariffs on $30 billion(Canadian) of US goods, with a second round on $125 billion in 21 days including beef. Later in the day, Commerce Secretary Lutnick indicated there may be an announcement coming on Wednesday regarding a potential rollback of the tariffs.

USDA’s National Wholesale Boxed Beef prices were higher in Tuesday afternoon’s report, with the Chc/Sel spread narrowing to $10.83. Choice boxes were up 92 cents at $314.85/cwt, with Select up $1.61 to $304.02. Tuesday’s Federally inspected cattle slaughter from USDA was estimated at 123,000 head, taking the weekly total to 225,000 head. That is 8,000 head above the previous week, but still down 15,646 head from the same week last year.

Apr 25 Live Cattle  closed at $194.650, up $2.400,

Jun 25 Live Cattle  closed at $190.075, up $1.975,

Aug 25 Live Cattle  closed at $188.475, up $1.300,

Mar 25 Feeder Cattle  closed at $273.850, down $0.175,

Apr 25 Feeder Cattle  closed at $272.500, up $0.450,

May 25 Feeder Cattle  closed at $271.000, up $0.800,