Large commodity index firms, better known as managed money, increased their collective net long live cattle futures position during the week ended Tuesday as cattle owners increased their total net short position.
The data came from the weekly Commitments of Traders report from the Commodity Futures Trading Commission Friday.
FUNDS BUY CATTLE
Tuesday, managed money had a collective net long live cattle position of 126,572 contracts, up 2,808, or 2.27%, from 123,764 a week earlier.
At the same time, cattle owners, known as commercial traders since they deal mostly in the cash market, had a total net short live cattle position of 128,807 contracts, up 2,724, or 2.16%, from 126,083 a week earlier.
Broken down, managed money Tuesday held 157,756 long positions, or 39.9% of total open interest, for a weekly gain of 4,565 contracts. They also held 31,184 short positions, or 7.9% of total open interest, for a gain of 1,757, and they held 41,976 spread positions, or 10.6% of total open interest, for a gain of 5,046.
Commercials held 58,772 long live cattle positions, or 14.9% of total open interest, for a weekly decline of 3,200, and they held 187,579 short positions, or, 47.5% of total open interest, for a decline of 476.
CFTC data said total live cattle open interest at the CME Tuesday was 395,052 contracts, down 8,025, or 2.07%, from 387,027 a week earlier.
The most-active Oct contract rose in the CFTC-reporting week to settle Tuesday at $219.27 per cwt, versus $216.82 a week earlier.
FUNDS BUY CORN
Tuesday, managed money had a collective net short corn position of 159,044 contracts, down 20,243, or 11.3%, from 179,287 a week earlier.
Commercials Tuesday had a total net short corn position of 63,188 contracts, up 1,418, or 2.30%, from 61,770 a week earlier.
Broken down, managed money Tuesday held 190,143 long positions, or 12.9% of total open interest, for a weekly gain of 10,218. They also held 349,187 short positions, or 23.7% of total open interest, for a decline of 10,025, and they held 209,379 spread positions, or 14.2% of the total, for a gain of 7,591.
Commercials held 379,548 long corn positions, or 25.8% of total open interest, for a decline of 27,879, while also holding 442,736 short positions, or 30.1% of total open interest for a decline of 26,461.
Total open interest Tuesday at the CME was 1.470 million contracts, down 29,000, or 1.93%, from 1.499 million a week earlier.
The most-active Dec contract rose in value during the CFTC-reporting week to settle at $4.19 ¾ a bushel from $4.14 ¼.
CATTLE, BEEF RECAP
The USDA reported formula and contract base prices for live FOB steers and heifers last week ranged from $229.17 per cwt to $238.88, compared with the previous week’s range of $224.82 to $233.02 per cwt. FOB dressed steers, and heifers went for $350.68 per cwt to $378.20, compared with $354.61 to $365.41.
The USDA choice cutout Friday was up $0.27 per cwt at $373.55 while select was off $2.35 at $351.49. The choice/select spread widened to $22.06 from $19.44 with 90 loads of fabricated product and 12 loads of trimmings and grinds sold into the spot market.
The USDA-listed the weighted average wholesale price for fresh 90% lean beef was $417.84 per cwt, and 50% beef was $254.88.
The USDA said basis bids for corn from feeders in the Southern Plains were unchanged at $1.30 to $1.45 a bushel over the Sep corn contract, which settled at $4.08 1/2, up $0.06 1/2.
The CME Feeder Cattle Index for the seven days ended Thursday was $322.28 per cwt, up $0.11. This compares with Friday’s Aug contract settlement of $324.00, down $1.00.