Strong follow-through buying in Cattle futures ran out of steam by the end of the session Wednesday, though markets were able to retain the previous day’s gains and add a bit. Trade tensions and lingering uncertainties about burgeoning beef supplies continue to help limit advances.
Except for 2¢ lower in away Aug, Live Cattle futures closed an average of 32¢ higher ($1.10 higher in spot Jun).
Feeder Cattle futures closed an average of 77¢ higher (from 62¢ to $1.47 higher).
Support came from growing notions that cash fed cattle can trade higher this week.
For instance, slaughter steers sold mostly $2 higher at Sioux Falls Regional in South Dakota; $111-$115/cwt. for Ch 2-3.
There were only 568 head offered in Wednesday’s weekly Fed Cattle Exchange auction, for delivery at 1-9 days. There were no takers; two lots (155 steers and 51 heifers) were passed on at $110/cwt.
Boxed beef cutout values were weak to lower Wednesday on light demand and light to moderate offerings, according to the Agricultural Marketing Service.
Choice boxed beef cutout value was 61¢ lower in the afternoon at $226.97/cwt. Select was $2.20 lower at $203.65.
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