Live cattle futures closed mixed on Tuesday, with nearbys ranging from up 22 cents to down 7 cents, while feeder cattle futures were mostly steady to higher in the front months. Cash trade remains untested this week following light $219 KS sales reported Monday, while boxed beef prices rose, widening the Choice/Select spread to $13.79, with Choice boxes up $3.94 at $358.75. Tuesday's estimated cattle slaughter was 120,000 head, bringing the weekly total to 235,000, up 15,000 from last week but slightly below last year's figure.
Live cattle futures demonstrated a mixed performance in Tuesday's session, with nearby contracts fluctuating between a 22-cent gain and a 7-cent decline, exemplified by the Jun 25 contract closing up $0.200 at $213.175 while the Aug 25 contract fell $0.075 to $207.850. The physical cash cattle market has yet to establish a clear trend this week, with only light sales reported in Kansas at $219 on Monday, following last week's southern trades between $218-$220 and northern trades at $229. Feeder cattle futures were generally firmer in the front months, with the May 25 contract up $0.325 to $296.000, though fall contracts showed some weakness and the CME Feeder Cattle Index declined $1.53 to $297.33 on May 19. Significantly, wholesale boxed beef prices advanced, with Choice cuts rising $3.94 to $358.75 and Select cuts up $0.85 to $344.96, thereby widening the Choice/Select spread to $13.79, signaling strong demand for higher-quality beef. Federally inspected cattle slaughter for Tuesday was 120,000 head, bringing the weekly cumulative to 235,000 head; this figure is 15,000 head above the previous week but trails the same week last year by 807 head, indicating a nuanced supply situation with increased short-term processing but slightly tighter year-over-year availability.
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