Cattle Futures: Live and Fed Cattle Close Higher on the Week, Friday30 September 2013
US - Live cattle futures settled 55 cents higher at $128.25 while feeder cattle closed with losses.
Both markets closed higher on the week overall.
December cattle closed 50 higher on the session and this left the market gaining 232 points for the week and closing higher for the 8th session in a row.
The market traded slightly lower on the day into the pit opening with talk of the overbought condition of the market after closing higher for 7 sessions in a row helping to pressure.
However, buyers emerged to drive the market up to the highest level since February 20th. Traders expect to see tightening supply ahead and this has more than offset talk that short-term supply is adequate.
News that weights are coming down helped to support. Average dressed steer weights for the week ending September 14th came in at 867 pounds, down from 872 the previous week and down from 869 last year at this time.
Weights typically move higher at this time of the year but the reduced usage of Zilmax may be a factor.
Beef production for the same week came in at 487.9 million pounds, down 5.6 per cent over year ago.
Boxed-beef cut-out values at mid-session today came in at $192.85, down 75 cents from the previous session but still up slightly from last week.
TheCattleSite News Desk