live cattle futures

live cattle futures

June 21st, 2016

Chicago cattle prices bounced up from multi-year lows, on technical support, but the market remains under pressure thanks to ample beef supply, and sluggish US demand.

Prices for both live cattle, which are ready for slaughter, and feeder cattle, which are ready for fattening up on feedlots, are under pressure.

Live cattle prices hit a four-year low of 113.725 cents a pound on Monday, while feeder cattle hit a three-year low 134.250 cents a pound.

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Indianapolis

Indianapolis

May 22, 2016

Dinner prices at St. Elmo Steak House may get cheaper. The number of cattle placed into U.S. feedlots in April jumped 7.0 percent from a year earlier, according to a government report on Friday, far exceeding most analysts’ forecasts.

Feedlots were still operating at a loss, analysts said. But lower prices for young calves allowed feedlots to buy more of them for fattening, which helped shore up sagging bottom lines.

USDA’s data showed the number of heavier cattle placed in April rose almost 12 percent from the year-ago month. Analysts said this could pressure prices for slaughter-ready animals in the fourth quarter.

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Rabo bullish on cattle, hog prices

On December 2, 2015, in cattle futures trading news report, by Infinity Trading
Feeder Cattle Futures

Feeder Cattle Futures

November 30th, 2015

Rabobank is bullish on 2016 live cattle futures, as it forecasts markets to “substantially less volatile” than this year.

And pork prices will rise above their current traded levels as well, as demand from China remains strong, the bank said.

Rabobank forecast live cattle prices to end 2016 at 152 cents a pound. The December 2016 futures contract is currently trading at 124.1 cents a pound.

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live cattle futures

live cattle futures

September 21st, 2015

Cattle futures were expected to start the trading week buoyed by short-covering, as investors reel in bets on a steeper drop after a decline to the lowest prices in 1 1/2-years last week.

A tighter-than-expected supply of feeder-cattle reported in the nation’s feedyards is also expected to support futures.

The cattle market last week was weighed down by worries that the steep cost of steaks and roasts will deter grocery store and restaurant buyers from loading up on seasonal meat items as they normally do during this time of year, and will instead opt for cheaper proteins such as pork and poultry.

After futures notched the lowest close since May 2014 last week, some traders may scale back bearish bets Monday while awaiting fresh signs of demand.

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feeder cattle futures

feeder cattle futures

September 8th, 2015

Live cattle futures are narrowly higher Tuesday, buoyed by short-covering after falling last week to the lowest levels in a year, amid worries about demand in both domestic and export markets.

October cattle futures recently advanced 0.65 cent, or 0.5%, to $1.41125 a pound at the Chicago Mercantile Exchange, after falling 2.4% over the past week. Live-cattle futures for December recently picked up 0.775 cent to $1.4355 a pound. Feeder-cattle futures for September are up 0.575 cent to $2.01925 a pound, after slipping 0.5% last week.

The cattle market last week tumbled to the lowest levels in 15 months as a downward slump in wholesale beef prices sparked concerns about lukewarm buying interest among retailers and restaurants. Wholesale pork and poultry prices remain significantly cheaper than those for burgers and steaks, a factor that analysts say has contributed to the pressure on packers to move beef products in both domestic and export markets. This has given processing plants less incentive to bid aggressively for available cattle.

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live cattle futures

live cattle futures

August 4th, 2015

The slump in live cattle futures has raised a cloud over the US beef cattle rebuild, a leading ag academic said, even as the head of the top US meat group forecast the strongest herd growth in 35 years.

Chris Hurt, professor of agricultural economics at Purdue University, said that the market for live cattle futures had been “surprisingly negative” in falling more than 10% from an April high, to stand on Monday at 147.90 cents a pound in Chicago for the spot August contract.

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live cattle futures

live cattle futures

July 17th, 2015

US cattle slaughter is falling, thanks to ample pasture and low beef prices, further reducing expectations for what is already set to be the slowest year in beef production since 1993.

In a monthly livestock outlook report, the USDA reduced beef production estimates over the second quarter of 2015 due to lighter than expected steer and heifer slaughter during May and June.

However, the USDA also warned with July 4 barbecues finished “consumers appear to be backing away from beef at its recent record prices”.

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Feeder Cattle Futures

Feeder Cattle Futures

June 5th, 2015

Australia’s beef producers will start to rebuild their herds, despite the threat of El Nino-induced dryness, thanks to a trend of rising cattle prices which looks set to continue, National Australia Bank said.

Australian cattle prices have, unusually, jumped over the past year despite dryness worries in some eastern areas – typically a negative sign for prices in cutting pasture condition and encouraging herd reduction.

The increase in prices – which as measured by the eastern young cattle indicator hit a record 489.5 Australian dollar cents per kilogramme last month – has been attributed largely to strong import demand from the US, where a recovery in southern pasture conditions from long-term drought is encouraging producers to rebuild herds rather than sell animals into the beef supply chain.

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feeder cattle futures

feeder cattle futures

November 25th, 2014

There’s been a lot of attention paid to how Canada’s oil boom has helped make gasoline cheaper. What many people may not realize is that the boom is also driving up the prices they pay for burgers and steaks.

Surging energy investment in Prairie Provinces, home to most of the nation’s farms and cattle ranches, has boosted domestic crude output to a record and sent pump prices to a three-year low. That’s led to jobs on drilling rigs or pipe crews paying two-thirds more than those in livestock, luring cowboys and beef-plant workers to the oil patch.

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cattle futures

cattle futures

July 22nd, 2014

Cattle futures surged to a record, signaling Americans will have to keeping paying more for burgers and steaks in the midst of barbecue season.

Shrinking U.S. livestock supplies have pushed meat prices to all-time highs. Ground beef reached a record $3.88 a pound in June, and boneless-sirloin steak climbed to a peak of $7.689 a pound, Bureau of Labor Statistics data showed today.

Futures climbed 17 percent this year after the U.S. cattle herd on Jan. 1 reached the smallest since 1951 as ranchers struggled to recover from years of drought. Prices for wholesale beef jumped 25 percent in 2014. Consumers have yet to balk at higher grocery bills, said Mark Schultz, chief market analyst at Northstar Commodity Investment Co. in Minneapolis.

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