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Commodity futures

Live Cattle Futures Quotes Steady Amid Mad Cow Disease Fears

Strategic Insights

— 1 min read

The Chicago Mercantile Exchange reported live and feeder cattle futures quotes as steady early Wednesday, with traders waiting for this week's cash live cattle trade before making commitments. Several cash-connected floor brokers expect boxed beef values to increase as the nation warms in the coming weeks. The live cattle market is technically oversold, with April posting a new contract low on Tuesday. Meanwhile, U.S. officials are investigating an Alabama cow that contracted bovine spongiform encephalopathy, and Japan has confirmed its 23rd case of mad cow disease.

Key Takeaways:

  • Live and feeder cattle futures quotes were called steady early Wednesday on the Chicago Mercantile Exchange.
  • Floor traders are waiting for this week's cash live cattle trade before committing to positions.
  • Boxed beef values are expected to move higher as the nation warms in the coming weeks.
  • The live cattle market is extremely oversold, with April posting a new contract low on Tuesday.
  • U.S. officials are investigating an Alabama cow that contracted bovine spongiform encephalopathy before the U.S. enacted cattle-feed safety rules in 1997.
  • Japan has confirmed its 23rd case of mad cow disease.
  • Choice grade boxed beef cutout values were down $1.53 at $145.53.
  • Select grade boxed beef cutout values were down $0.50 at $134.87.
  • The operating margin index for cattle packers was a minus $13.55 per head.
  • The latest CME feeder cattle cash index quote was down $0.31 at $102.36.

Statistics:

  • Live and feeder cattle futures quotes were called steady early Wednesday.
  • Choice grade boxed beef cutout values were down $1.53 at $145.53.
  • Select grade boxed beef cutout values were down $0.50 at $134.87.
  • The operating margin index for cattle packers was a minus $13.55 per head.
  • The latest CME feeder cattle cash index quote was down $0.31 at $102.36.
  • 222 loads of sales were reported by the USDA for fabricated loads.
  • 100 loads of sales were reported by the USDA for trimmings and coarse grinds.
  • April live cattle futures posted a new contract low on Tuesday.

Sources:

  • Dow Jones Commodities News via Comtex, March 15, 2006
  • www.HedgersEdge.com
  • Dow Jones Newswires, March 15, 2006
  • Comtex SmarTrend(SM) Alert, an automated pattern recognition system, as of Saturday, March 11, 2006
  • Comtex News Network, Inc.

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