Cattle Futures - Cattle Complex Dives; Most Hogs Float Up
US - Chicago Mercantile Exchange live cattle futures ended lower on cash concerns, slumping boxed-beef values and profit taking after Thursday's broad rally. Fund selling and the Chicago Board of Trade corn's short-lived rebound exerted further pressure.
4 June 2007
1 minute read
Feeder cattle and pork bellies ended down sharply, while most hog contracts recovered.
Live cattle spiked at the start amid residual buying and short covering, but quickly faded as longs snapped up profits. It also became apparent that cattle buyers and sellers in the Plains would not reach a deal on unsold cattle before futures closed which generated floor uncertainty.
People on the cash side who looked to live cattle futures for guidance after the board rallied on Thursday were probably disappointed when contracts fell Friday, a trader said. Thursday's upswing had more to do with traders taking care of end-of-month business than what they thought about cash, he said.
Source: FXSTREET
