Live cattle futures are finding some strength on Monday morning with 90 cent to $1 higher trade on Monday. Cash trade last week settled in around $199 in the South and North trade at $199-200, both down $3-4 from the week prior. Feeder cattle are rallying at midday, with contracts up $3 to $3.55. The CME Feeder Cattle Index was 2 cents higher on February 20 at $278.84. Monday’s OKC feeder cattle auction showed 4,500 head for sale, up from last week but well below last year. 

Friday’s Cattle on Feed report showed January placements up 1.73% from last year at 1.822 million head. January marketings were 1.41% higher at 1.869 million head. February 1 on feed inventory was down 0.69% at 11.716 million head. 

CFTC data showed specs cutting back another 7,240 contracts from their net long in the week ending on Tuesday at 128,469 contracts. In feeder cattle, managed money was still at a record net long of 30,069 contracts, a 1,702 contract increase on the week. 

USDA’s National Wholesale Boxed Beef report was higher on Monday morning, as the Chc/Sel spread was widening at $10.11. Choice boxes were back up $2.97 at $313.74/cwt, with Select $1.02 higher to $303.63. Last week’s Federally inspected cattle slaughter was estimated at 563,000 head by the USDA. That is up 2,000 head from the previous week and 27,486 head below the same week last year.

Feb 25 Live Cattle  are at $198.800, up $0.975,

Apr 25 Live Cattle  are at $194.950, up $1.000,

Jun 25 Live Cattle  are at $191.225, up $0.900,

Mar 25 Feeder Cattle  are at $271.400, up $3.450

Apr 25 Feeder Cattle  are at $271.100, up $3.550

May 25 Feeder Cattle  are at $269.375, up $3.450