Cattle Bulls Make Aggressive Moves Higher on Thursday Session

The bulls demonstrated clear strength in the cattle complex on Thursday, with live cattle futures recording impressive gains ranging from 90 cents to $1.60. The broader market structure showed bullish momentum extending across multiple contract months, signaling sustained buying interest among market participants.

Price Action and Futures Performance

Live cattle futures surged higher across the board, reflecting the bulls’ commitment to pushing prices upward. Feeder cattle futures climbed substantially, with gains of $3.67 to $4.85 representing even more aggressive positioning than the live cattle side. The CME Feeder Cattle Index advanced 27 cents to $369.42 on January 13, underscoring the strength in young cattle pricing.

Contract-by-contract performance highlighted the bulls’ control across the curve: Feb 26 Live Cattle closed at $236.050 (up $0.900), Apr 26 Live Cattle at $238.425 (up $1.100), and Jun 26 Live Cattle at $233.900 (up $1.575). On the feeder side, Jan 26 Feeder Cattle reached $368.425 (up $3.675), Mar 26 at $364.550 (up $4.850), and Apr 26 at $362.925 (up $4.750).

Cash Market Backdrop

The cash trade remains in early stages this week, with pricing from the previous week hovering around $232-233 nationwide. The Thursday morning Fed Cattle Exchange online auction saw minimal activity, with 974 head offered but no sales or bids executed, suggesting buyers and sellers remain cautious in settling spot transactions.

Wholesale Beef and Slaughter Data

USDA Wholesale Boxed Beef prices moved higher in Thursday’s PM report, reflecting the bulls’ influence on finished product valuations. Choice boxes climbed $2.24 to $360.77, while Select advanced $2.06 to $359.71. The Choice/Select spread widened to $1.06, indicating continued premium demand for higher-quality beef products.

Federally inspected slaughter estimates reached 117,000 head for Thursday, bringing the week-to-date total to 469,000 head—4,000 head above the prior week but 15,813 head below year-ago levels.

Export Demand Supports the Bulls

International demand provided additional support for the bulls’ rally. Beef export bookings totaled 11,192 MT for the week ending January 8, with South Korea representing the largest buyer at 3,800 MT and Japan taking 2,000 MT. Actual shipments for that period reached 11,657 MT, with Japan leading destinations at 3,400 MT and South Korea receiving 3,100 MT.

The combination of domestic strength, wholesale price appreciation, and steady export demand gave the bulls multiple reasons to maintain their aggressive positioning through Thursday’s close.