CME update: live cattle futures retreat from previous highs
CME live cattle futures closed lower on 1 April as traders booked profits ahead of the long Easter weekend.
2 April 2021
1 minute read
Reuters reports that most US markets are closed for Good Friday (2 April).
CME June live cattle settled down 0.350 cent at 122.550 cents per pound and May feeder cattle futures ended down 0.175 cent at 149.225 cents.
Cash cattle traded at $116 to $118 per cwt this week, up about $2 from last week, traders said.
Surging wholesale beef prices underpinned the market. Choice cuts of boxed beef were up $2.85 at $249.97 per cwt on Thursday, the USDA said, and select cuts added $6.57 to $244.70 per cwt.
Domestic demand for pork and beef remains strong, with the start of the summertime grilling season coinciding with renewed demand from the food service sector amid expectations for the US economy to rebound after the coronavirus pandemic.
"Traders are looking at the return of the restaurant business and consumers that are flush with cash from stimulus checks. They are expecting good, strong, red meat demand as we get into the spring and summer grilling season," said Dan Norcini, an independent livestock trader.
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Source: Reuters
