CME update: live cattle futures gain ground while feeder cattle continue their decline
US live cattle futures rose on 30 April while feeder cattle futures continued to fall as climbing corn futures translated into higher feed costs.
3 May 2021
1 minute read
Reuters reports that CME's June live cattle futures added 0.525 cent to 116.575 cents per pound, while August feeder cattle futures lost 3.125 cents to close at 146.300 cents per pound.
For the week June live cattle gained 0.850 cent, while August feeder cattle lost 3.600 cents, a 2.4% weekly loss.
"Because of the higher feed prices, people are still trying to move market-ready cattle supplies," said Houghton. "Packers seem to have the upper hand still."
Beef packer margins climbed to $651.10 per head, according to Hedgersedge.
Beef packer profitability is led by strong consumer demand, as choice beef cut-outs added $2.74 per cwt. to $296.50, while select cuts gained $3.26 to $283.05, according to the US Department of Agriculture.
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Source: Reuters
