U.S. live cattle futures climbed Wednesday, fueled by a broad market rally as traders kept an eye on winter weather and cash markets.

Cattle for December delivery were recently up 1.30 cents, or 1.1%, to $1.2187 a pound in trading at the Chicago Mercantile Exchange. The CME February contract gained 1.3 cents, or 1.0%, to $1.2372 a pound. January feeder cattle futures rose 1.67 cents, or 1.1%, to $1.4637 a pound.

Fueling the strong gains was a broad market rally following the announcement of a coordinated effort by central banks to shore up the global financial system. The move by the U.S. Federal Reserve, European Central Bank and other central banks makes dollar funding cheaper for European banks.

In recent trading, the Dow Jones Industrial Average was up 415 points, or 3.6%, while Standard & Poor's 500-stock index jumped 41.85 points, or 3.5%. Also, the U.S. currency weakened, providing further support for dollar-denominated commodities. A falling dollar can increase demand by foreign buyers.

"The big news around the marketplace this morning is the intervention from the U.S. Federal Reserve and other world central banks," wrote Troy Vetterkind, president of Vetterkind Cattle Brokerage.

Traders also were watching to see where cash cattle trading develops this week. Futures continue to trail cash prices, and cattle owners across the Great Plains are seeking higher prices again this week. The price gap between the two markets will eventually need to converge as the December contract moves toward expiration, with cash prices pulling back, futures climbing or a mixture of both.

"I feel the cash market is overdone," said Tom Leffler, head of Leffler Commodities, a Kansas brokerage. "But they continue to surprise me."

He questioned whether beef demand can keep pace at current price levels, or if there are early signs of a pullback as consumers react to the high cost.

Forecasts of winter weather in the Plains could affect cattle weight gain in the coming days. Still, some analysts expect the first blast of winter to have little effect on futures market.

In the cash markets, sales of a few loads of cattle were reported in Iowa at $2.02 a pound dressed to a regional processor in Nebraska late Tuesday, which along with stout gains in live cattle futures are causing cattle owners across the Plains to seek higher prices for their animals.

Although the sales so far have been light and to just one processor, the price paid indicates that demand for the better quality animals is still strong, analysts and feedyard managers said.

The $2.02 paid represents the high end of last week's price range. The initiation of sales in the north may spark the beginning of cash trading elsewhere before the day is over, analysts said.

Cattle sales prices last week averaged near $1.24 a pound in Texas/Western Oklahoma and about $1.2325 a pound in Kansas. In Nebraska, live sales last week were from $1.24 a pound to as high as $1.28 a pound while dressed sales averaged about $2.00 a pound.