Cattle Futures: December Contract Posts Gains as Other Near Contracts Close Lower
US - Near live cattle futures posted losses, barring the December contract which closed seven cents higher at $131.67 after peaking at $131.975.
11 December 2013
1 minute read
February cattle closed 40 lower on the day and well up from the early lows when the market traded 80 lower on the day, report analysts at CME.
Sloppy trade in retail beef prices recently plus talk that the showlist is higher this week due to a jump in Nebraska helped to pressure the market.
The market saw long liquidation as a bearish force as speculators seem to be moving out of the hefty net long position noted in the COT updates on Friday ahead of the holidays.
Packer margins are said to be deeper in the red this week which added to the negative tone.
Boxed-beef cut-out values were up $1.05 at mid-day to $202.52. The USDA raised 2013 beef production by 85 million pounds but also raised exports by 46 million.
The USDA raised 2014 beef production by 115 million pounds but raised exports by 10 million but the news is still seen as negative.
Slaughter came in slightly below trade expectations at 120,000 head.
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