Live Cattle Futures Show Signs of Recovery Amid Quiet Trades

Live cattle futures are attempting to rebound with modest increases as April contracts aim for $100. Despite limited cash trades, positive trends in wholesale boxed beef prices may buoy the market, indicating potential for investor optimism in livestock stocks.

Date: 13-03-2025

AI Rating: 6

Market Trends: Live cattle futures are seeing a push higher, with April contracts rising by $1.10 to $1.45, signaling investor optimism. The cash trade remains quiet, but online auction results suggest some resilience with bids starting at $198. For feeder cattle, contracts are up by $1.65 to $2.20, supporting a broader trend of increasing prices.

Wholesale Boxed Beef Prices: Notably, National Wholesale Boxed Beef prices have increased, with Choice boxes rising to $321.25/cwt and Select boxes up $1.65 to $308.51. This uptick in boxed beef prices could attract investor interest as it reflects higher demand and could potentially improve margins for producers.

Slaughter Rates: The USDA has reported increased cattle slaughter totals, with Tuesday's estimated slaughter at 124,000 head, a significant uptick from the previous week and year. This increase in slaughter could indicate a response to market conditions, influencing supply dynamics and potentially affecting stock valuations in the associated firms.

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