CHICAGO, Jan 17 (Reuters) – Chicago Mercantile Trade dwell cattle futures closed narrowly blended on Friday, hovering slightly below long-term highs forward of a protracted U.S. vacation weekend and Monday’s inauguration of U.S. President-elect Donald Trump.
Tight cattle provides and unseasonably excessive beef costs proceed to underpin the market, however commodity funds already maintain a large bullish place in dwell cattle futures, an element that slowed upward momentum this week.
Commerce was uneven on Friday as market gamers awaited alerts about U.S. commerce coverage below the incoming Trump administration. CME February dwell cattle futures settled up 0.150 cent at 196.750 cents per pound whereas the April contract fell 0.175 cent to finish at 197.500 cents. Each contracts stayed beneath long-term highs set final week.
CME March feeder cattle ended Friday up 0.325 cent at 268.050 cents a pound.
“It simply appears to be a bit of profit-taking right here amid questions concerning tariffs,” stated Wealthy Nelson, chief strategist for Allendale Inc.
Merchants had been additionally looking forward to clues about when the U.S. Division of Agriculture would possibly resume cattle imports from Mexico, Nelson famous. The USDA blocked shipments in November over the invention of the New World screwworm pest in Mexico.
Wholesale beef costs held close to their highest ranges since June of 2023. The USDA’s boxed-beef index for selection cuts rose 28 cents on Friday afternoon to $333.69 per hundredweight (cwt), slightly below Wednesday’s 19-month peak of $334.14.
CME lean hog futures additionally declined. April hogs settled down 2.225 cents at 88.325 cents per pound and front-month February hogs fell 1.175 cents to 81.125 cents per pound.
The USDA priced pork carcasses at $90.60 per cwt on Friday afternoon, up 21 cents from Thursday.
U.S. markets and most authorities workplaces might be closed on Monday for the Martin Luther King Jr vacation, which coincides with Trump’s inauguration.
(Reporting by Julie Ingwersen; Modifying by Leslie Adler)
