The Commodity Futures Trading Commission reported Friday in its weekly Commitments of Traders report that large commodity investment firms continued to carve chunks off their collective net long live cattle futures position.
At the same time, commercial traders continued to reduce their total net short live cattle position.
FUNDS SELL LONG POSITIONS
Those large commodity investment firms, known as managed money, Tuesday had a collective net long live cattle position of 120,010 contracts, down 7,593, or 5.95%, from 127,603 a week earlier and down 36,826, or 23.5%, from the recent high of 156,836 on Jan. 28.
Commercial traders, who use future primarily as a hedging tool, had a total net short position Tuesday of 133,312 contracts, down 5,634, or 4.05%, from 138,946 a week earlier and down 17,849, or 11.8%, from the recent top of 151,161 on Jan. 14.
The CFTC said managed money Tuesday had 138,479 long positions, or 38.1% of total open interest, down 5,319 from a week earlier. They also had 18,469 short positions, or 5.1% of total open interest, up 2,274 from a week earlier, and 46,116 spread positions, representing 12.7% of total open interest, up 4,069.
Commercials had 44,184 long positions, representing 12.2% of total open interest, a decline of 208 from a week earlier. They also had 177,496 short positions, or 48.9% of total open interest, a decline of 5,842.
The CFTC also said total live cattle open interest Tuesday was 363,192 contracts, up 494, or 0.14%, from 362,698 a week earlier.
The most-active Apr contract rose during the CFTC-reporting week to settle Tuesday at $195.72 per cwt, compared with $194.02 a week earlier.
FUNDS SELL CORN
Tuesday, managed money had a collective net long live cattle position of 333,843 contracts, down 25,890, or 2.20%, from 359,733 a week earlier.
At the same time, commercial traders had a total net short corn position of 669,065 contracts, down 44,246, or 6.20%, from 713,311 a week earlier.
The CFTC said managed money Tuesday held 411,839 long positions, or 21.5% of total open interest, a decline of 26,744 from a week earlier. They also had 77,996 short positions, representing 4.1% of total open interest, a decline of 854 from a week earlier, and they had 367,714 spread positions, 19.2% of total open interest, a decline of 27,077.
Commercials held 364,605 long positions, or 19.8% of total open interest, a decline of 18,919 from a week earlier. They also had 1.034 million short positions, or 54.9% of total open interest, a decline of 63,165 from a week earlier.
Total open interest Tuesday was 1.907 million contracts, down from 2.072 million.
The most-active May contract settled at $4.94 ¼ a bushel, versus $5.15 ¾.
CATTLE, BEEF RECAP
The USDA reported formula and contract base prices for live FOB steers and heifers last week ranged from $199.80 per cwt to $207.87, compared with the previous week’s range of $202.97 to $210.18 per cwt. FOB dressed steers, and heifers went for $313.39 per cwt to $319.42, compared with $318.80 to $327.62.
The USDA choice cutout Friday was up $0.65 per cwt at $311.83 while select was off $0.08 at $302.05. The choice/select spread widened to $9.78 from $9.05 with 82 loads of fabricated product and 20oads of trimmings and grinds sold into the spot market.
The USDA-listed the weighted average wholesale price for fresh 90% lean beef was $380.40 per cwt, and 50% beef was $102.76.
The USDA said basis bids for corn from feeders in the Southern Plains were unchanged at $1.27 to $1.38 a bushel over the Mar corn contract, which settled at $4.53 1/2, down $0.11 1/4.
The CME Feeder Cattle Index for the seven days ended Thursday was $281.06 per cwt, up $1.42. This compares with Friday’s Mar contract settlement of $274.97, down $1.47.