Livestock Futures Extend Upward Momentum Through Week

Cattle futures markets demonstrated sustained strength heading into year-end trading, with live cattle contracts capturing notable gains across multiple delivery months. December contracts closed at $221.450, representing a $2.50 advance, while February and April expirations followed suit with respective increases of $2.10 and $1.775. The broader rally reflected underlying support from tightening supplies and steady export demand.

Feeder cattle proved even more resilient, extending the week’s bounce-back momentum with strength across the board. January contracts surged $4.725 to $336.575, March gained $3.925 to settle at $329.725, and April climbed $3.425 to $328.600. The CME Feeder Cattle Index added another $4.02, reaching $341.80 on December 3, signaling robust interest in younger cattle for feeding operations.

Cash Market and Slaughter Activity

Thursday’s live cattle cash trade remained relatively subdued, with northern bids established around $220 alongside limited southern activity at $218. Despite the holiday-compressed week, USDA federally inspected slaughter reached 121,000 head on Thursday, pushing the weekly total to 475,000—well above the previous week but trailing last year’s corresponding period by 9,974 head.

Wholesale boxed beef prices retreated in Thursday’s afternoon quotations, with Choice boxes declining $1.09 to $362.72 and Select dropping $2.80 to $350.32. The Choice/Select spread widened to $12.40, reflecting divergent demand dynamics between premium and standard cuts.

International Trade Supports Export Outlook

Beef export data reinforced underlying market strength. Weekly sales through October 30 totaled 14,499 MT—a four-week peak—though shipments lagged at 10,249 MT, marking an eight-week low. Brazilian beef producers shipped 318,493 MT during November, representing a substantial 90,000 MT year-over-year increase according to government records, underscoring intensifying global competition and firm international pricing.