Cash Cattle Softer as Futures Sink
Friday saw big declines December live cattle and November feeders, including a technically bearish weekly low close in December live cattle, and analysts believe that sets the stage for follow-through chart-based selling pressure early next week. Weakness in futures coincides with a modest deterioration in cash market fundamentals.
Cattle sold in the North this week in moderate volumes at $184 per cwt., with a few at $185 on Thursday, generally $1 lower than the previous week. Northern cattle sold dressed at $292 per cwt., about $2 lower. Cattle in the South sold at $183 per cwt., steady with last week.
Feeder cattle sold $3 lower to $1 higher, and calves steady to $3 lower.
Wholesale beef prices declined for the week. Choice boxed beef closed Friday at $300.78 per cwt., down $2.55 per cwt. for the week. Select closed at $276.04 per cwt., down $4.39 per cwt.
December live cattle futures lost $2.50 at $187.925 and near the daily low. For the week December live cattle fell $3.425. November feeder cattle futures dropped $2.775 at $254.90 and near the session low. On the week, November feeders lost $8.625.
Weekly cattle slaughter was estimated at 612,000 head, down 55,186 from the same week last year. The year-to-date total was estimated at 24.238 million head, down 4.4% from last year.
