Friday markets
Trading was volatile over the day, but futures ultimately closed higher.
Live cattle futures were higher, up $3.45 on the October contract to $238.47 and up $2.62 on the December contract to $242.52.
Cash trade for the day was about 24,000 head. Live steers sold from $230-235, and dressed steers sold from $362-368. Total cash trade for the week totaled about 28,000 head through the afternoon.
“This coming Monday is a holiday with some businesses like banks closing but most businesses like beef plants open for business,” the Cattle Report wrote. “It would not be surprising to see slaughter numbers decline both this week and next from recent levels.”
Slaughter for the day is projected at 91,000 head, on pace with a week earlier. With tomorrow’s slaughter estimated at 10,000 head, total slaughter for the week is expected at 547,000 head.
Boxed beef prices were higher on 124 loads. The Choice cutout gained 35 cents to close at $365.57, and the Select cutout gained $2.06 to close at $346.39.
Feeder cattle
“The lack of liquidity in the feeder contract provides a perfect environment for prices to move too far in either direction. Poor liquidity leads to extreme volatility,” the Cattle Report said. “Overdone directional price movements frequently require corrections and traders sense the vulnerability of the contract that needs to be cash settled but the contract index needs a redo.”
Feeder cattle futures were higher, up $1.47 to $375.50 on the October contract and up $1.85 to $375.90 on the November contract.
The CME Feeder Cattle Index gained $1.84 to close at $367.35.
Corn futures were lower, down 5 cents apiece on the December and March contracts to $4.13 and $4.29, respectively. — Anna Miller Fortozo, WLJ managing editor
