Cattle Corrects Higher as CoF Data Comes in Neutral

Live cattle futures posted Friday gains of 62 cents to $1.85, as Feb was down $3.625 on the week. A few cattle have exchanged hands this week at $195-195.50 in the North, steady from last week, with light Southern action at $191. Feeder cattle futures were back up $1.07 to $1.42 on Friday, with the week’s loss limited to $2.05 for January. The CME Feeder Cattle Index was down 8 cents from the day prior at $262.15 on December 19.

Monthly Cattle on Feed data was released this afternoon, showing a total of 1.796 million head of cattle placed during November, which was down 3.7% from last year and slightly above estimates. November marketings were down 1.48% at 1.725 million head, above the pre-report trade expectations. December 1 on feed inventory was down 0.28% at 11.982 million head from last year. 

Commitment of Traders data showed managed money spec funds expanding their net long position by 8,040 contracts as of Tuesday the largest new long in over 5 ½ years to 134,348 contracts. In feeder cattle, CFTC data showed specs increasing their net long by 712 contracts to a near record 20,578 contracts.

USDA wholesale Boxed Beef prices were mixed in the Friday afternoon report. Choice boxes were back down $4.84 to $315.85/cwt, with Select $1.80 higher @ $285.91. USDA estimated this week’s federally inspected cattle slaughter at 617,000 head. That is up 8,000 head from the previous week but down 4,036 head from the same week last year. 

Dec 24 Live Cattle  closed at $191.325, up $0.975,

Feb 25 Live Cattle  closed at $188.400, up $1.850,

Apr 25 Live Cattle  closed at $190.125, up $1.525,

Jan 25 Feeder Cattle  closed at $255.600, up $1.125,

Mar 25 Feeder Cattle  closed at $255.825, up $1.250,

Apr 25 Feeder Cattle  closed at $256.750, up $1.300,

On the date of publication,

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