Cattle Futures - Live Cattle Gain
US - CME live cattle contracts settled moderately higher on short covering andfund purchases. Also, October/December forward spreading, fueled by this week'scash expectation, clashed with longs that rolled into December on the final dayof the Goldman roll.
17 September 2007
1 minute read
However, October and December clawed back from session lows amid shortcovering, buy stops and fund buying. Furthermore, bullish traders gainedconfidence about this week's cash as futures moved higher despite continuedboxed beef weakness.
The U.S. Department of Agriculture's midday boxed beef prices on Friday quoted choice cuts down $0.37 per hundredweight and select items slippedanother $0.44.
As of futures' close on Friday, packer bids still hovered around $92 perhundredweight for live-basis cattle against $97 asking prices.
October live cattle finished under 95.79-cent 100-day moving averageresistance.
December closed beneath the 99.37-cent 40-day moving average.
Traders will focus on this week's cash outcome when they return to thetrading floor on Monday, a broker said.
Source: FXSTREET
