DJ CME Cattle Review: Live Cattle Drop On Hogs, Fund Sales
CHICAGO - Chicago Mercantile Exchange's live cattle futures settled lower on lean hogs' surprising meltdown, fund selling and chart support loss.
15 March 2007
1 minute read
Cash caution on the heels of recent board pullbacks, sell stops and liquidation in outside markets enhanced cattle's bearish mood.
April, at times, was the recipient of June and August bulls spreads that, along with June/August bull positioning, further weighed on back months.
April closed down 12 points at 99.97 cents a pound.
June finished 97 points lower at 96.42 cents a pound.
Impressive boxed beef values, satisfactory calculated packer profit margins and withered Chicago Board of Trade corn at times spawned break-buying. However, June found it difficult to regroup after the contact filled the March 8 chart gap.
Cattle feeders and buyers remain far apart in terms of price negotiations. However, floor bulls continue to advance the notion that processors will return to the table with no worse than steady money based on spotty higher auction market sales on Tuesday.
Source: FXSTREET.com
