Large commodity index funds, or managed money, increased their collective net long live cattle futures position during the week ended Tuesday, while commercial traders increased their total net short position.
The information came from the weekly Commitments of Traders report from the Commodity Futures Trading Commission Friday.
FUNDS GET LONGER CATTLE
Tuesday, managed money had a collective net long live cattle position of 118,029 contracts, up 6,968, or 6.27%, from 111,061 a week earlier.
At the same time, commercial traders, called this because they deal mostly in a cash, or commercial, market, had a total net short position of 130,886 contracts, up 4,241, or 3.35%, from 126,645 a week earlier.
Managed money, Tuesday, held 136,374 long positions, or 36.6% of total open interest, a gain of 9,200 from a week earlier. They also held 18,345 short positions, or 4.9% of the total, a gain of 2,232. And they held 51,031 spread positions, or 13.7% of total open interest, a gain of 2,307.
Commercial traders Tuesday held 47,993 long positions, or 12.9% of total open interest, a gain of 453 from a week earlier, and 178,879 short positions, or 48.0% of total open interest a gain of 4,694.
The CFTC reported total live cattle open interest Tuesday was 372,760 contracts, up from 357,600 a week earlier.
The most-active Jun contract rose during the CFTC-reporting week to settle Tuesday at $201.00 per cwt, compared with $196.25 a week earlier, up $4.75, or 2.42%.
FUNDS SELL MORE CORN
For the fourth straight week, managed money liquidated net long corn positions as commercials covered net short positions.
Tuesday, managed money had a collective net long corn position of 104,430 contracts, down 27,982, or 21.1%, from 132,412 a week earlier.
Commercials, Tuesday, had a total net short corn position of 475,013 contracts, down 34,621, or 6.79%, from 509,634 a week earlier.
Tuesday, managed money held 243,695 long corn positions, o4 13.4% of total open interest, a decline of 4,591 from a week earlier. They also had 139,265 short positions, or 7.7% of the total, an increase of 23,391, and they held 352,693 spread positions, or 19.4% of the total, a decline of 10,606.
Commercials held 406,688 long positions, or 22.4% of total open interest, a decline of 20,766 from a week earlier. They also held 881,701 short positions, or 48.5% of the total, a decline of 55,387.
The CFTC also reported that total corn open interest Tuesday was 1.819 million contracts, down 10,751, or 0.59%, from 1.830 million a week earlier.
The most-active May contract settled Tuesday at $4.58 ¾, versus $4.70 ¼ a week earlier.
CATTLE, BEEF RECAP
The USDA reported formula and contract base prices for live FOB steers and heifers last week ranged from $199.50 per cwt to $208.99, compared with the previous week’s range of $197.87 to $202.79 per cwt. FOB dressed steers, and heifers went for $311.12 per cwt to $323.01, compared with $310.41 to $321.60.
The USDA choice cutout Friday was down $2.61 per cwt at $325.45 while select was up $0.26 at $309.62. The choice/select spread narrowed to $15.83 from $18.70 with 92 loads of fabricated product and 31 loads of trimmings and grinds sold into the spot market.
The USDA-listed the weighted average wholesale price for fresh 90% lean beef was $381.67 per cwt, and 50% beef was $117.73.
The USDA said basis bids for corn from feeders in the Southern Plains were unchanged at $1.20 to $1.32 a bushel over the May corn contract, which settled at $4.64 1/4, down $0.04 3/4.
The CME Feeder Cattle Index for the seven days ended Thursday was $287.78per cwt, up $1.84. This compares with Friday’s Mar contract settlement of $286.47, down $1.87.