Friday’s triple digit rally pushed live cattle back to net gains for the week. Futures closed $0.95 to $1.95 higher going into the 3-day weekend, leaving the April contract with a net 82c gain Friday to Friday on the 8th consecutive week higher. April is up $22.15 (13%) from the Dec low, but is still $12.30 under the LoC high. CME had 16 deliveries issued (and being retendered) vs the Feb contract, the oldest remaining long was dated 12/28. USDA reported light $180-$182 cash sales on Friday, citing the bulk of action for the week was near $180.
Front month feeder cattle led the rally on the last trade day of the week with 1.1% to 1.6% gains across the front months. That finished the week as a net $3.87 gain for March and a net $1.77 gain for April. The CME Feeder Cattle Index for 2/15 was 35 cents weaker to $244.58.
CFTC data confirmed net new buying from the spec funds during the week that ended 2/13. That extended the group’s net long to 42,472 contracts. The spec funds were shown with a 7,364 contract net long in feeder cattle on 2/13. That was a 1,723 contract stronger net long for the week, given net new buying.
USDA’s Boxed Beef prices were mixed as Choice was up by 90 cents for Choice, but $1.33 weaker for Select on Friday afternoon. USDA reported beef production for the week at 506.9 million lbs with a 608k head harvest. Output was down 2.5% for the week and 1.5% below the same week last year on a 2.3% reduced slaughter (down 2.7% from the same week last year).
Feb 24 Cattle closed at $184.77, up by $1.375,
April 24 Cattle closed at $187.55, up by $1.950,
Jun 24 Cattle closed at $182.82, up by $0.950,
Mar 24 Feeder Cattle closed at $251.02, up by $3.925
April 24 Feeder Cattle closed at $253.55, up by $3.325
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