Recent headlines from the USDA could ramp up the volatility in livestock markets. Here are a few things to keep an eye on for today’s trade.
Mexico Notifies United States of New World Screwworm Detection
USDA Report Link: Mexico Notifies United States of New World Screwworm Detection | Animal and Plant Health Inspection Service
Live Cattle (December)
December live cattle futures made another move higher Friday but was far from a technical breakout with resistance remaining intact from 186.60-187.675. If the market can chew through this pocket, we could see an extension towards the upper end of the risk range which dates back to the summer months, that comes in from 189.47-190.075. A higher open is expected this morning on the USDA headline.
Resistance: 186.60-187.675***, 189.47-190.075****
Pivot: 184.55-185.20
Support: 182.50-182.82***, 180.00-180.50***
Cattle on Feed
On Feed: 100.0% VS avg 99.9%, range 99.4-100.2%
Placements: 105.0% VS avg 103.8%, range 100.0-107.0%
Marketings: 105.0% VS avg 105.2%, 104.7-106.0%
Daily Cattle and Beef Summary
Cutout values were mixed on Friday afternoon with choice cuts .62 higher to 307.41 and select cuts 85 cents lower to 272.07. Friday’s slaughter was reported at 117k head, 3k less than last week. The 5-area average price for live steers was reported at 185.61 which was firm with what we saw through the first half of the week.
Seasonal Tendency Update
(updated 11.25.24)
Below is a look at historical price averages for February futures on a 5, 10, 15, 20, and 30 year time frames (Past performance is not necessarily indicative of future results).

Commitment of Traders Update
(updated 11.25.24)
Friday’s Commitment of Traders report showed funds were net buyers of about 4.8k futures and options contracts. This extended they weekly buying streak to 9 weeks. Funds are now net long 111,853 contracts. That registers as the largest net long position since July of 2023.

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