Cattle Futures - Live Cattle Advance; New Feeder Highs
US - Chicago Mercantile Exchange live cattle closed higherMonday on last week's mostly steady fed cattle results, Friday's supportivefederal government cattle reports, and August/October bull spreads.Meanwhile, lean hogs ended higher and pork bellies were mostly up.
Although live cattle rose at the start, it was not as much as some bullishtraders had hoped given the positive nature of Friday's cattle reports. Sometraders believed futures had factored in any type of bounce the report mightoffer. And, others pointed out that board premiums to recent cash sales was alimiting factor.
Nevertheless, August pulled ahead and attracted additional buyers after thecontract broke through the 10-day moving average barrier. Spot Augustsubsequently bobbed above the more significant 100-day moving average thresholdthat triggered fund purchases.
October made additional headway when the contract overcame the 10-day movingaverage hurdle. And live cattle across the board benefited from Chicago Boardof Trade corn's setback.
Source: FXSTREET