Cattle Futures - Live Cattle Retreat

US - CME live cattle contracts settled slightly weaker on cash caution due tolackluster boxed beef movement and Wednesday's board setbacks.
calendar icon 14 September 2007
clock icon 1 minute read
October/December forward-spreading, which limited spot-October's declines butpressured December, at times also interrupted longs' roll out of October intoDecember.

The U.S. Department of Agriculture's midday boxed beef wire on Thursdayshowed choice cuts down $0.35 per hundredweight and select items dipped $0.21.

Nonetheless, fed cattle bids for live-basis animals held at $92 perhundredweight versus stubborn $97 asking prices.

In spite of Wednesday's sentiments that live cattle on Thursday may besubject to an upward adjustment, potential buyers stepped back on the open.This week's bigger showlists and some futures contracts trading above 100.00cents made bulls think twice about putting on more positions, a broker said.

In early going, October at one point sank to a four-week bottom, and Decemberdrifted to its lowest level since Aug. 21, after both contracts slipped beneathWednesday's lows.

Nonetheless, a spate of short covering, and October's oversold RelativeStrength Index condition, rescued front trading months from session lows. And,CBOT corn's significant retreat eventually prompted late-day June live cattlebuying.

© 2000 - 2024 - Global Ag Media. All Rights Reserved | No part of this site may be reproduced without permission.