Cattle Futures: Futures Close Mixed, Wednesday24 October 2013
US - Futures closed mixed on Wednesday and Texas cash cattle started at $132, a new record.
October live cattle reported gains, closing at $131.80, up 70 cents, whereas December to June closed 271/2 to 50 cents lower and far deferred contracts edged higher, according to ProFarmer reporters.
December cattle closed 22 lower on the session and well down from the mid-session peak. The market saw further upside early today trading to its highest level since October 17th, the day the market put in what had appeared to be a major technical top.
After the early rally, confirmation that cash cattle traded at a record high $132.00 in Texas helped to spark a sell-off and move lower on the day.
This is up $2.00-$3.00 from last year. Cattle is one of the few commodity markets that show tightening supply ahead, and the sharply lower over the past week has helped improve export prospects for US beef.
The dollar was lower earlier in the session today, but it has since move back to unchanged, even higher on the day. Traders view the stronger trend in boxed beef prices as indicative of strong demand.
Choice boxed-beef cut-out values from the USDA on the mid-day wire came in at $200.68, up $1.35 from yesterday.
Slaughter came in above trade expectations at just 123,000 head.
TheCattleSite News Desk