Cattle futures started weak and finished stronger Tuesday. Fundamental reasons were hard to come by, especially given the sharp decrease in wholesale beef values. Potential support could have stemmed from the rally in Lean Hogs (after the front two contracts) and pressure on Corn.
Live Cattle futures closed an average of $2.34 higher (from 87¢ higher at the back to $3.00 higher toward the front).
Feeder Cattle futures closed an average of $1.92 higher ($1.55 to $2.20 higher).
Wholesale beef values were sharply lower on light demand and light to moderate offerings, according to the Agricultural Marketing Service.
Choice boxed beef cutout value was $7.82 lower Tuesday afternoon at $243.15/cwt. Select was $9.18 lower at $228.96.
Corn futures closed mostly fractionally lower to 2¢ lower through Mar ‘21 and then mostly fractionally higher to 1¢ higher. Pressure included Tuesday’s USDA reports.
Soybean futures closed 1¢ to 3¢ higher through Aug ’21 and then fractionally lower to 2¢ lower.