Cattle started the week on the defense but then never looked back, posting strong gains for the rest of the week. Early selling was tied to the New World Screw Worm. But the market was able to shake off the knee jerk reaction to the pest and push higher for most of the week. Strong cash and futures continued steep discount to cash helped give cattle support.
Cattle opened the week steady to higher and extended session gains throughout the morning session. Early support was due to confirmation of 3 more screw worm cases in the US. Futures discount to cash added to the support. Technical selling entered the market around noon and took charge pushing cattle lower into the close. Profit taking spurred on by fund long liquidation was the main pressure point in the cattle.
Tuesday’s session had cattle once again opening the session higher and extended session gains. Early support came from technical buying. Expectations that the new screw worm could result in tighter supplies of cattle added support. The lack of a cash trade limited gains in the live cattle.
Buying continued to dominate cattle midweek with cattle starting the session mixed with live cattle higher while feeder cattle opened on the defense. Early support for the live cattle came from a strong cash trade while the feeder cattle losses were tied to a strong grain complex. The lack of concern toward the new world screw worm impacting meat quality continues to help support the live cattle while feeder cattle are seeing support from potential tighter supply issues. Futures discount to cash added support in both live and feeder cattle. Feeder cattle gains were kept in check by a stronger corn market.
Thursday’s session had cattle open steady to higher and shake off any early selling pressure and push to post strong gains. Early support came from technical buying as traders try to bring cash and futures closer together. Cash continues to hold a huge premium over futures. Light support came from strong demand as domestic demand for beef has not missed a beat, even with the reported new screwworm cases. Live cattle gains were kept in check by the lack of a cash trade. Feeder cattle saw support from the lower grain complex.
Last week’s export sales pace for beef was solid at 19.032 MT.
USDA is estimating 2025 beef production at 26.071 billion pounds, unchanged from last month. 2026 beef production is estimated at 25.506 billion pounds, down 110 million pounds from last month. 2027 beef production is estimated at 25.453 billion pounds, up 75 million pounds from last month.
Last week’s cash activity took place between $256 and $258.
As of June 7, pasture and range conditions were rated at 31% g/e, 29% fair and 40% p/vp, up 1% from last week.
For the week, June live cattle closed at $249.875 down 20 cents. Aug feeder cattle closed at $357.425 up $3.525.
Cattle Weekly Comments June 12
Cattle Weekly Comments June 12
Cattle started the week on the defense but then never looked back, posting strong gains for the rest of the week. Early selling was tied to the New World Screw Worm. But the market was able to shake off the knee jerk reaction to the pest and push higher for most of the week. Strong cash and futures continued steep discount to cash helped give cattle support.
Cattle opened the week steady to higher and extended session gains throughout the morning session. Early support was due to confirmation of 3 more screw worm cases in the US. Futures discount to cash added to the support. Technical selling entered the market around noon and took charge pushing cattle lower into the close. Profit taking spurred on by fund long liquidation was the main pressure point in the cattle.
Tuesday’s session had cattle once again opening the session higher and extended session gains. Early support came from technical buying. Expectations that the new screw worm could result in tighter supplies of cattle added support. The lack of a cash trade limited gains in the live cattle.
Buying continued to dominate cattle midweek with cattle starting the session mixed with live cattle higher while feeder cattle opened on the defense. Early support for the live cattle came from a strong cash trade while the feeder cattle losses were tied to a strong grain complex. The lack of concern toward the new world screw worm impacting meat quality continues to help support the live cattle while feeder cattle are seeing support from potential tighter supply issues. Futures discount to cash added support in both live and feeder cattle. Feeder cattle gains were kept in check by a stronger corn market.
Thursday’s session had cattle open steady to higher and shake off any early selling pressure and push to post strong gains. Early support came from technical buying as traders try to bring cash and futures closer together. Cash continues to hold a huge premium over futures. Light support came from strong demand as domestic demand for beef has not missed a beat, even with the reported new screwworm cases. Live cattle gains were kept in check by the lack of a cash trade. Feeder cattle saw support from the lower grain complex.
Last week’s export sales pace for beef was solid at 19.032 MT.
USDA is estimating 2025 beef production at 26.071 billion pounds, unchanged from last month. 2026 beef production is estimated at 25.506 billion pounds, down 110 million pounds from last month. 2027 beef production is estimated at 25.453 billion pounds, up 75 million pounds from last month.
Last week’s cash activity took place between $256 and $258.
As of June 7, pasture and range conditions were rated at 31% g/e, 29% fair and 40% p/vp, up 1% from last week.
For the week, June live cattle closed at $249.875 down 20 cents. Aug feeder cattle closed at $357.425 up $3.525.