Chicago | Reuters — Chicago Mercantile Exchange live cattle futures eased on Tuesday after four days of gains, as traders look for direction from consumer demand amid tight cattle supplies, analysts said.
“I think we’ve been sideways for cattle now for over a month and, I guess until we see a change on the product side or on the cash side, I don’t see why this market is gonna go one way or another,” said Altin Kalo, economist at Steiner Consulting Group.
The most-active October live cattle eased 0.075 cents, to 181.475 cents/lb., while October feeder cattle lost 0.275 cents to 256.75 cents/lb.
Read Also
U.S. grains: Soybean futures jump on hopes for US export demand
Chicago Board of Trade soybean futures jumped on hopes for U.S. export demand on Wednesday, while corn futures rose for a third day to extend a recovery from contract lows, analysts said.
Boxed beef prices stepped back, with choice cuts falling $2.68, to $314.36/cwt, while select cuts dropped $2.41, to $289.68/cwt.
Cattle processors slaughtered 125,000 head, down 3,000 head from the same period a year ago, USDA said.
Meanwhile, CME lean hog futures eased as the market anticipates a seasonal influx of market-ready hogs.
“Bigger numbers are coming, heavier weights are coming,” Kalo said. “I think there’s certainly some nervousness out there for later in the fall.”
The most-active October futures trimmed 1.125 cents, to 80.725 cents/lb.
Wholesale pork carcass cutout eased $3.20, to $92.85/cwt, lead by declines in pork bellies.
Pork processors slaughtered 470,000 head, down 10,000 from the same period last year, USDA said.
The CME’s Lean Hog Index, a two-day weighted average of cash prices, held steady at 95 cents/lb.
— Christopher Walljasper reports on agriculture and ag commodities for Reuters from Chicago.
