Cattle Falling at Midday on Tariff News

Live cattle futures are steady to $2.25 lower in the front months on Monday. Cash trade settled in at $256-260 last week, with southern action $256-258 and northern trade at $258-260. Feeder cattle futures are down $3.50 to $3.90 in the front months, with May the exception, up 97 cents. The CME Feeder Cattle Index was back down $2.54 to $374.83 on May 7. The weekly OKC feeder cattle auction has an estimated 5,000 head for sale, with a lower undertone noted early.Just beforemidday, a Wall Street Journal report indicated the US was looking to temporarily lower beef import tariffs as soon as Monday. Don’t Miss a Day: From crude oil to coffee, sign up free for Barchart’s best-in-class commodity analysis.Managed money increased their net long position in live cattle futures and options during the week of 5/5 by 5,374 contracts, taking it to 141,965 contracts. In feeder cattle futures and options, specs added back 1,636 contracts to their net long to 18,725 contracts on Tuesday.Wholesale Boxed Beef prices were higher in the Monday morning report, with the Chc/Sel spread at a 91 cent premium to Choice. Choice boxes were up $2.27 to $390.66, while Select was $4.74 higher at $389.75. USDA estimated federally inspected cattle slaughter for last week at 527,000 head through Saturday. That was down 7,000 head from last week and 33,823 head below the same week last year. Jun 26 Live Cattle are at $248.900, unch,Aug 26 Live Cattle are at $243.100, down $1.000,Oct 26 Live Cattle are at $236.100, down $2.200,May 26 Feeder Cattle are at $368.350, up $0.975Aug 26 Feeder Cattle are at $360.525, down $3.700Sep 26 Feeder Cattle are at $358.425, down $3.800 On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here. More news from Barchart High Gas Prices Are Weighing on Cattle Prices as Pseudorabies Hits Hog Prices. This Week’s Trump-Xi Meeting Could Turn the Trend Around. Grain Market Update: Are Iran Ceasefire Rumors Creating a Commodity Trap Bullish Cattle Traders Still Have Their Feet on the Gas, But $5 Gasoline Threatens to Collapse Prices April’s Top Performers and Underperformers The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.