CME: Quiet Trading Day Pushes Futures Lower, Tuesday11 September 2013
US - October futures closed marginally lower at $125.025 with futures through to June ending 10 to 31 1/2 cents lower.
December and February cattle closed just slightly lower on the day with quiet trade, write CME analysts.
February managed to hold at Friday's lows while December traded higher on the day into the pit opening but pushed down to trade 25 lower on the session into the mid-day and this pushed the market down to the lowest level since August 9th.
Traders continue to view the short-term cash situation as slightly negative as there seems to be plenty of cattle ready for market to meet demand.
The situation tightens into the 4th quarter and into early 2014. Talk of more sluggish beef demand from consumers in September has added to the negative tone.
Open interest is down just 7,000 contracts on the recent break.
Boxed-beef cut-out values at mid-session were down 96 cents to $194.27 from $195.67 last week.
Slaughter came in above trade expectations at 125,000 head.
TheCattleSite News Desk