CME: Live Cattle Close Down, Monday20 August 2013
US – August live cattle futures closed down 25 cents at $123.65 with the market expected to open higher tomorrow.
Live cattle should open on a firmer basis than feeder cattle, says DTN Livestock analyst, John Harrington for Progressive Farmer.
This will be supported by stronger feedlot sales and technical buying.
“Encouraged by the trend of the last several weeks, cattle feeders are hopeful that the last summer cash rally can be sustain at least through the balance of August. Asking prices are likely to start out around $125-126 in the South and $202-plus in the North,” writes John Harrington for Progressive Farmer.
“Early-week activity will be typically limited to the distribution of new showlists. CME officials announced Friday afternoon the posting of 17 delivery certificates, 10 new ones and seven retendered for $1 (all at Dodge City). Live and feeder contracts should open moderately higher, supported by greater packer spending and pre Labor Day beef demand.”
TheCattleSite News Desk