7 January 2008

1 minute read

North America

Feeder cattle closed sharply lower while lean hogs settled amid moderate weakness and pork bellies closed mixed.

Thursday's unexpectedly higher fed cattle trade and front-month live cattle's oversold chart conditions pushed up beef contracts at the start. Thursday evening's wholesale beef demand data provided lift on the open.

Nevertheless, futures' upward momentum stalled when February and April were unable to takeout key moving-average-resistance targets. Also, willing sellers lurked above the market armed with the knowledge that the bulk of this week's cash sales were behind them after Thursday's transactions.

Market participants will begin the week fresh with the official start of the Goldman roll. The roll, which is tied to the Goldman Sachs Commodity Index, will begin Jan. 8 and wrap up on Jan. 14.