April Cattle futures traded lower on Thursday, February 20, 2020 trading past support at 119.15 to the session low at 118.975. It settled at 119.15. Resistance levels are at 120.70 and then 122.80. Support is at 117.80 and then 116.55. The cattle on feed report will be released after the close on Friday. Estimates are for cattle on feed at 102.3%, placements at 101.5% and marketed at 101.0%. Cash has traded this week from 117.00 to 120.50 on a live basis, with the bulk at 120.00. There have been some dressed trades at 190.00 and 191.00. Boxed Beef cutouts were lower on light to moderate demand and heavy offerings. Choice cutouts decreased 1.07 to 204.50 and select was down 0.16 to 201.60. The choice/ select spread narrowed to 2.90 and the load count was 177. Slaughter was estimated to be 122,000 and for the week so far is estimated at 474,000. Slaughter at this time last year was 439,000.
For those interested I hold a weekly grain (with Sean Lusk) and livestock webinar on Thursdays and our next webinar will be on Friday, February 21st at 3:00 pm. It is free for anyone who wants to sign up and the link for sign up is below. If you cannot attend live a recording will be sent to your email upon completion of the webinar.
**Call me for a free consultation for a marketing plan regarding your livestock needs.**
Walsh Trading, Inc. is registered as a Guaranteed Introducing Broker with the Commodity Futures Trading Commission and an NFA Member.
Futures and options trading involves substantial risk and is not suitable for all investors. Therefore, individuals should carefully consider their financial condition in deciding whether to trade. Option traders should be aware that the exercise of a long option will result in a futures position. The valuation of futures and options may fluctuate, and as a result, clients may lose more than their original investment. The information contained on this site is the opinion of the writer or was obtained from sources cited within the commentary. The impact on market prices due to seasonal or market cycles and current news events may already be reflected in market prices. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.
All information, communications, publications, and reports, including this specific material, used and distributed by Walsh Trading, Inc. (“WTI”) shall be construed as a solicitation for entering into a derivatives transaction. WTI does not distribute research reports, employ research analysts, or maintain a research department as defined in CFTC Regulation 1.71.