Cattle Futures - Live Cattle Fall

US - Chicago Mercantile Exchange live cattle ended lower onlong-profit taking, fund selling and Chicago Board of Trade corn's run up.Feeder cattle also ended lower.
calendar icon 23 August 2007
clock icon 1 minute read
Market bears undercut live cattle contracts soon after the opening bell amid30 cattle deliveries posted by the exchange late Tuesday and sentiments thatTuesday's rally was overstated.

Also, market bulls grew nervous in response to boxed beef's slide Tuesday,and midday Wednesday, that might work against fed cattle owners this week.

The U.S. Department of Agriculture's midday boxed beef wire Wednesday showedchoice cuts down $0.41 per hundredweight and select $0.21 weaker.

However, despite future's pullback on Wednesday, asking prices for live-basiscattle remain from $93 to $94 per hundredweight in the face of $88 to $90packer bids.

Additional live cattle sellers entered the market after October drifted belowprime moving average support levels and as CBOT corn gained ground as thesession progressed.

Given deliveries levied by the exchange against the August contract onTuesday, those who are still trading August will watch to see how many of thosedeliveries were taken. And, wholesale beef demand will draw consistent scrutinyheading into late next week's Labor Day holiday.

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