Cattle Futures - Aug-Dec Hogs Fall, Others Rise

US - CME live cattle closed lower on tepid wholesale boxed beef demand, mountingfed cattle anxiety, and August and October technical pressure. In the interim,traders worked August/October bull and October/December bear spreads thatlimited August and December's declines but weighed more on October.
calendar icon 10 August 2007
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The U.S. Department of Agriculture's midday boxed beef cutout wire onThursday quoted choice cuts down $0.41 per hundredweight and $0.89 select drop.

Cattle futures vacillated throughout the morning, stirred by cash speculationfor this week after packers on Wednesday discounted live-basis fed cattle bidsin reaction to trailing futures and beef cutout's poor performance.

And funds at times bought cattle futures, but upward momentum subsided aftertechnical traders turned sellers and front-months were unable to takeout majormoving average strongholds.

Also, live cattle at times received a supportive nudge from CBOT corn thattracked lower as the session wore on. However, that too fizzled as October livecattle longs moved into December. That, some said, mimicked possiblepre-Goldman Roll activity, which will officially begin in early September andis linked to the Goldman Sachs Commodity Index.

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