Large commodity investment funds broke their string of 12 straight declines in their collective net long live cattle futures position during the week ended Tuesday while commercial traders continued to trim their net short position.
The Commodity Futures Trading Commission made the data known Friday in its weekly Commitments of Traders report.
The CFTC said the investment funds, called managed money, increased their net long cattle position by 4,865 contracts, or 6.52%, to 79,532 contracts from 74,667 the previous week.
Commercial traders, those who theoretically could make or take delivery of a futures contract, cut their net short cattle position for the 13th straight week to 159,447 contracts from 160,226 the previous week. This was a decline of 779 contracts, or 0.48%.
The CFTC said managed money arrived at its new net long position by adding 3,714 long positions, covering 1,151 short positions and putting on 3,187 spread positions. This left them representing 30.2% of total long open interest, 5.3% of total short open interest and 8.3% of total spread open interest.
Commercial traders got to their new net short position by liquidating 1,163 long positions and covering 1,912 short positions to leave them in control of 7.4% of long open interest and 57.3% of total short open interest.
The CME Group said total live cattle open interest during the CFTC week rose to 320,985 contracts from 315,389, an increase of 5,596, or 1.77%.
During the CTFC week, the most-active Oct futures contract rose $1.85 per cwt, or 1.77%, to close at $106.27 per cwt from $104.42, the CME Group said. It has since continued to climb.
FUNDS STILL SHORTING CORN
Meanwhile, managed money continued to extend its net short CBOT corn futures position during the week ended Tuesday. The funds’ new net short corn position was 116,344 contracts, up 12,446, or 12.0%, from 103,898 the previous week.
Commercials continued to trim their net short corn position, going to 215,953 contracts from 222,473 the previous week, a dip of 6,520, or 2.93%.
The CFTC said managed money arrived at its new corn position by adding 2,510 long positions and 14,956 short positions while unwinding just 11 spread positions. This left them representing 16.0% of total long open interest, 24.5% of total short open interest and 6.6% of total spread open interest.
Commercials got to their new position by adding 7,790 long positions and 1,260 short positions, leaving them in control of 25.0% of total long open interest and 40.7% of total short open interest.
The CME Group said total corn open interest during the week rose to 1.370 million contracts from 1.339 million, a gain of 30,899, or 2.31%.
The most-active Dec contract had a net loss of $0.07 a bushel, or 1.95%, during the week to close at $3.51 ½ from $3.58 ½ but traded mostly sideways until a big loss on Tuesday.
CATTLE, BEEF RECAP
Only one lot of cattle sold Wednesday on the Livestock Exchange video auction at $104.75 per cwt.
Cash trade was reported Friday at $104 to mostly $105 per cwt on a live basis, steady to down $1 from the previous week, and at mostly $165 to $166 on a dressed basis, steady to down $1.
The USDA’s choice cutout Friday was up $0.42 per cwt at $191.42, while select was off $0.87 at $185.85. The choice/select spread widened to $5.57 from $4.28 with 81 loads of fabricated product sold into the spot market.
The CME Feeder Cattle index for the seven days ended Thursday was $149.73 per cwt, up $0.27. This compares with Friday’s Sep settlement of $150.22, up $1.42.