Tight supplies and storm forecasts support CME prices
Cattle futures firm as traders await cash signals
Live cattle futures on the Chicago Mercantile Exchange (CME) edged higher on Tuesday after a choppy session as market players awaited direction from subdued cash cattle markets, reported Reuters.
Tight US cattle supplies continued to underpin the market, while weather forecasts called for winter storms in the northern Plains and Upper Midwest this week that could stress livestock in some areas.
CME February live cattle futures settled up 0.275 cent at 226.950 cents per pound after reaching 228.600 cents, the contract's highest since November 4. January feeder cattle ended down 0.150 cent at 335.500 cents per pound.
The US Department of Agriculture (USDA) priced choice cuts of beef at $361.04 per hundredweight, up 14 cents from Monday, while select cuts fell 57 cents to $348.03 per cwt.
Packers slaughtered an estimated 123,000 cattle on Tuesday, according to USDA data, up from 122,000 cattle a week ago and 119,415 a year ago.
Hog futures ended mostly lower. CME benchmark February lean hog futures settled down 0.525 cent at 81.875 cents per pound, paring losses after a dip to 80.650 cents.
The USDA priced pork carcasses on Tuesday afternoon at $96.44 per cwt, up 93 cents from Monday.