Cattle Futures: December Closes Down, February Makes Gains, Wednesday07 November 2013
US - Futures traded in a narrow band and closed mixed yesterday as December futures closed with losses and February finished up.
December futures list 2 1/2 cents lower at $132.025 but February lifted by the same amount. This followed a weak opening to the market following reports of weaker wholesale beef prices.
CME analysts said: "The lack of cash trade plus "hope" that cash can trade steady on the week with a higher showlist this week were factors which may have contributed to the early weakness."
Fears that consumer beef demand is struggling to see good movement above $200 and that this could slow movement of beef through the pipeline helped to keep a lid on the bounce, they added.
Choice boxed-beef choice cut-out values at mid-session came in at $203.94, down $1.51 on the day and down from $205.68 last week.
However, select beef was up 60 cents to $190.58 from $190.09 last week.
Slaughter came in below trade expectations for the third day in a row at 119,000 head which is sometimes a sign of weak demand from the packer.
TheCattleSite News Desk