Cattle had a rough week, trading lower for the first three sessions but cattle did manage to trade with gains to close out the week ending Thursday. Economic concerns and talk about possible interest rate increases resulted in week’s sloppy trading.
Live cattle opened the week mixed as did the feeder cattle. But cattle came under heavy selling pressure early, falling to test support. The lack of a solid cash trade last week pressured cattle this week. Light selling could be tied to last week’s lower cash prices. Selling was also tied to a higher crude oil contracts (economy) while feeder cattle were pressured by a firm corn market.
Tuesday’s session also saw cattle start steady to lower while the feeder cattle opened higher. The lack of a cash trade pressured the live cattle while feeder cattle were pressured by a firm grain complex. But once the grains faded cattle trimmed losses. Light activity took place between $222 and $223.
Heavy selling took charge in the feeder cattle market midweek while live cattle just saw light selling pressure. Early selling was tied to comments from numerous Fed board members that it is likely that another rate hike will take place before the end of the year. Reports that Sept beef prices declined the most in Sept since 2024, but that cash remained near its highs added pressure. Late session losses were trimmed by a lower grain complex. Strong demand and tight supplies continue to give cattle underlying support.
Cattle started the Thursday’s session on the defense with early selling was tied to a bearish PPI estimate. That combined with a negative CPI estimate Wednesday had cattle on the defense as it almost guarantees that the Fed will raise interest rates before year end. But cattle managed to shake off the early selling pressure and push higher after touching minor support. Live cattle gains were kept in check from the lack of a cash trade. Feeder cattle were also supported by a softer grain complex. Light activity took place this week between $222 and $223.
The cash feeder cattle index closed at $341.42.
As of Oct 11, pasture and range conditions were estimated at 22% g/e, 30% fair, and 48% p/vp, down 1% from the previous week.
For the week, Oct live cattle contracts closed at $227.55 up $2.575 while the Oct feeder cattle contract closed at $343.625 down 22.5 cents.
Cattle Weekly Comments October 16
Cattle Weekly Comments October 16
Cattle had a rough week, trading lower for the first three sessions but cattle did manage to trade with gains to close out the week ending Thursday. Economic concerns and talk about possible interest rate increases resulted in week’s sloppy trading.
Live cattle opened the week mixed as did the feeder cattle. But cattle came under heavy selling pressure early, falling to test support. The lack of a solid cash trade last week pressured cattle this week. Light selling could be tied to last week’s lower cash prices. Selling was also tied to a higher crude oil contracts (economy) while feeder cattle were pressured by a firm corn market.
Tuesday’s session also saw cattle start steady to lower while the feeder cattle opened higher. The lack of a cash trade pressured the live cattle while feeder cattle were pressured by a firm grain complex. But once the grains faded cattle trimmed losses. Light activity took place between $222 and $223.
Heavy selling took charge in the feeder cattle market midweek while live cattle just saw light selling pressure. Early selling was tied to comments from numerous Fed board members that it is likely that another rate hike will take place before the end of the year. Reports that Sept beef prices declined the most in Sept since 2024, but that cash remained near its highs added pressure. Late session losses were trimmed by a lower grain complex. Strong demand and tight supplies continue to give cattle underlying support.
Cattle started the Thursday’s session on the defense with early selling was tied to a bearish PPI estimate. That combined with a negative CPI estimate Wednesday had cattle on the defense as it almost guarantees that the Fed will raise interest rates before year end. But cattle managed to shake off the early selling pressure and push higher after touching minor support. Live cattle gains were kept in check from the lack of a cash trade. Feeder cattle were also supported by a softer grain complex. Light activity took place this week between $222 and $223.
The cash feeder cattle index closed at $341.42.
As of Oct 11, pasture and range conditions were estimated at 22% g/e, 30% fair, and 48% p/vp, down 1% from the previous week.
For the week, Oct live cattle contracts closed at $227.55 up $2.575 while the Oct feeder cattle contract closed at $343.625 down 22.5 cents.