Chicago Mercantile Exchange live cattle and lean hog futures rose to life-of-contract highs on Tuesday, lifted by investment fund buying linked to optimism that meat prices will continue to rise, traders said.
Friday’s report is anticipated not only for the information that enables market analysts to estimate slaughter cattle supplies, but also because the January report was unpublished due to the government shutdown.
Chicago Mercantile Exchange live cattle futures climbed to a two-week high on Monday, buoyed by technical buying and ideas that strong consumer demand for beef would continue, traders and analysts said.
Parts of Iosco and Ogemaw counties in Michigan have been designated by officials as a “Potential High-Risk Area” for bovine tuberculosis after a white-tailed deer in Alcona County tested positive for the disease.
Anecdotal evidence and supply observations suggest packers have recently had a negotiating advantage over feedlots. Packer margins continue to be wide and the supply of cattle on feed continues to be high.