LIVESTOCK-CME live cattle mixed, tight supplies underpin futures
By Christopher Walljasper
CHICAGO, Sept 19 (Reuters) - Chicago Mercantile Exchange live cattle futures were mixed-to-firmer on Monday, supported by diminished supplies of market-ready cattle that should be reflected in the U.S. Agriculture Department's monthly Cattle on Feed report, due Friday.
"It’s been a slow climb, but it’s also predicated on very large demand," said Dennis Smith, commodity broker analyst at Archer Financial Services. "The numbers are not going to be there, down the road."
CME October live cattle added 0.225 cent to close at 145.725 cents per lb., after reaching 146.275 the highest on a continuous basis since August 31, 2015. December live cattle closed 0.075 cent lower at 150.900 cents per lb.
CME feeder cattle futures, meanwhile, finished mixed. October feeders climbed 1.050 cent to 182.300 cents per lb. and November feeders gained 0.775 cent to 183.525 cents.
Boxed beef prices were mixed, with choice cuts adding 5 cents to $252.45 per cwt, while select cuts eased 76 cents to $225.89 per cwt, the USDA said.
Cash cattle traded steady the end of last week around $143 per hundred weight (cwt) in the northern U.S. plains and $142 in the southern plains, the USDA said.
Meanwhile, CME lean hog futures were mostly higher, as traders expect hog herd size to continue to lag heading into the fall.
"There’s a lot of things coming into play," said Smith. "Fewer hogs than expected in these fall hog runs, maybe an overcount on the latest hog and pig report."
October lean hogs lost 0.425 cent to 96.475 cents per lb., while the most-active December hogs firmed 0.18 cent to 88.150 cents per lb.
The lean hog index, a two-day weighted average of cash hog values, last firmed by 20 cents to 97.97 cents per pound.
The U.S. Department of Agriculture quoted the U.S. pork carcass cutout value at $105.88 per cwt, down 51 cents from Friday. (Reporting by Christopher Walljasper; Editing by Maju Samuel)
© Copyright Thomson Reuters 2022. Click For Restrictions - http://about.reuters.com/fulllegal.asp