The live cattle market posted gains in every session this week while feeder cattle trading a little more mixed, posting solid gains in one session but then trading mixed in the other three sessions. By the time the dust settled, both contracts were either at or near new all-time contract highs.
Cattle opened the session steady to higher and then extended session gains early. But cattle could not hold the gains as once all of the contracts hit new all-time contract highs, profit taking set in to pull cattle off their highs. Technical buying set in once cattle traded lower as bargain hunting stepped into to give cattle support. Tight supplies, strong demand, and higher cash bids all added support. Last week’s better than expected cash trade supported the live cattle. Last week’s cash activity took place between $234 to $235, up $4 to $5. Feeder cattle were also supported by the lower wheat and corn market.
The bulls came to life in the cattle market on Tuesday. Cattle opened the session lower and extended losses early. Profit taking combined with a softer stock market to pressure cattle early. But as was the case before, every setback gets met with buy orders. By midsession, buying returned to the cattle markets, pushing cattle to new all-time contract highs in all months in both contracts. Tight supplies, strong demand, and strong cash bids all helped give cattle support. Light support was also due to spillover support from the lower grains. The lack of deliveries against the Oct contract added support to live cattle.
Calmer heads prevailed midweek as live cattle only managed to end Wednesday’s session with small gains while feeder cattle slipped lower. After opening steady to lower, cattle continued to trade on both sides of the fence throughout the session. Early selling was tied to profit taking and technical selling as traders took money off the table. Losses were trimmed by strong demand and tight supplies. Cash cattle at sale barns continue to set records almost daily as buyers try to fill their lots. Live cattle were also pressured by the lack of a cash trade while feeder cattle were pressured by higher corn.
Strength returned to the live cattle market to close out the week Thursday while feeder cattle continued to trade sloppy. Cattle opened the session mixed and continued to trade in that fashion throughout the day. Technical selling and profit taking kept a lid on gains while support continued to come from tight supplies, strong demand and record setting cash bids for calves being sold at auction. Last week’s cash activity took place between $234 to $235, up $4 to $5.
For the week, October Live cattle closed at $240.25 up $1.775. October Feeder Cattle closed at $371.70 down $3.80.
Cattle Weekly Comments October 17
Cattle Weekly Comments October 17
The live cattle market posted gains in every session this week while feeder cattle trading a little more mixed, posting solid gains in one session but then trading mixed in the other three sessions. By the time the dust settled, both contracts were either at or near new all-time contract highs.
Cattle opened the session steady to higher and then extended session gains early. But cattle could not hold the gains as once all of the contracts hit new all-time contract highs, profit taking set in to pull cattle off their highs. Technical buying set in once cattle traded lower as bargain hunting stepped into to give cattle support. Tight supplies, strong demand, and higher cash bids all added support. Last week’s better than expected cash trade supported the live cattle. Last week’s cash activity took place between $234 to $235, up $4 to $5. Feeder cattle were also supported by the lower wheat and corn market.
The bulls came to life in the cattle market on Tuesday. Cattle opened the session lower and extended losses early. Profit taking combined with a softer stock market to pressure cattle early. But as was the case before, every setback gets met with buy orders. By midsession, buying returned to the cattle markets, pushing cattle to new all-time contract highs in all months in both contracts. Tight supplies, strong demand, and strong cash bids all helped give cattle support. Light support was also due to spillover support from the lower grains. The lack of deliveries against the Oct contract added support to live cattle.
Calmer heads prevailed midweek as live cattle only managed to end Wednesday’s session with small gains while feeder cattle slipped lower. After opening steady to lower, cattle continued to trade on both sides of the fence throughout the session. Early selling was tied to profit taking and technical selling as traders took money off the table. Losses were trimmed by strong demand and tight supplies. Cash cattle at sale barns continue to set records almost daily as buyers try to fill their lots. Live cattle were also pressured by the lack of a cash trade while feeder cattle were pressured by higher corn.
Strength returned to the live cattle market to close out the week Thursday while feeder cattle continued to trade sloppy. Cattle opened the session mixed and continued to trade in that fashion throughout the day. Technical selling and profit taking kept a lid on gains while support continued to come from tight supplies, strong demand and record setting cash bids for calves being sold at auction. Last week’s cash activity took place between $234 to $235, up $4 to $5.
For the week, October Live cattle closed at $240.25 up $1.775. October Feeder Cattle closed at $371.70 down $3.80.