In a continuing theme of keeping their collective net long live cattle futures position near steady, large commodity index funds, or managed money, nudged their position higher during the week ended Tuesday.
The Commodity Futures Trading Commission’s weekly Commitments of Traders report Friday also said cattle owners, or commercial traders, increased their total net short position during the same week.
FUNDS NUDGE NET LONG POSITION
As of Tuesday, managed money had a collective net long live cattle position of 124,738 contracts, up 1,087, or 0.88%, from 123,651 a week earlier.
At the same time, commercial traders had a total net short live cattle position of 128,364 contracts, up 4,017, or 3.23%, from 124,347 a week earlier.
Broken down, managed money Tuesday had 155,120 long positions, or 37.8% of total open interest, an increase of 2,739 from a week earlier. They also held 30,382 short positions, or 7.4% of total open interest, for an increase of 1,652, and they had 47,281 spread positions, or 11.5% of total open interest, for a decline of 1,874.
Commercials Tuesday held 63,323 long positions, or 15.4% of total open interest, for a gain of 4,104 from a week earlier. They also had 191,687 short positions, or 46.7% of total open interest, for a gain of 8,121.
CME live cattle open interest was 410,436 contracts, up 9,989, or 2.49%, from 400,447 a week earlier.
The most-active Aug live cattle contract rose in value during the CFTC-reporting week to settle at $209.75 per cwt, up from $209.30.
FUNDS BOOST NET SHORT CORN POSITION
After a one-week reduction, managed money Tuesday had a collective net short corn position of 133,979 contracts, up 43,830, or 48.6%, from 90,149 a week earlier. It was their shortest position since Oct. 15 when it was short by 107,448 contracts.
Commercials Tuesday had a total net short position of 160,561 contracts, down 48,446, or 23.2%, from 209,007 a week earlier, for their smallest net short position since Sept. 24 when it was 132,679 contracts short.
Broken down, managed money Tuesday held 183,615 long corn positions, or 11.0% of total open interest, for a decline of 1,352 from a week earlier. They also held 317,594 short positions, or 13.5% of total open interest, for an increase of 42,478, and they held 224,706 spread positions, or 13.5% of total open interest, for a decline of 16,901.
Commercials held 454,147 long positions, or 27.2% of total open interest, for an increase of 18,815 from a week earlier. They also held 614,708 short positions, or 36.8% of total open interest, for a decline of 29,631.
CATTLE, BEEF RECAP
The USDA reported formula and contract base prices for live FOB steers and heifers last week ranged from $223.72 per cwt to $234.90, compared with the previous week’s range of $220.00 to $231.49 per cwt. FOB dressed steers, and heifers went for $349.46 per cwt to $365.78, compared with $348.05 to $365.35.
The USDA choice cutout Friday was down $1.77 per cwt at $365.08 while select was up $0.12 at $356.73. The choice/select spread narrowed to $8.35 from $10.24 with 83 loads of fabricated product and 20 loads of trimmings and grinds sold into the spot market.
The USDA-listed the weighted average wholesale price for fresh 90% lean beef was $386.14 per cwt, and 50% beef was $141.50.
The USDA said basis bids for corn from feeders in the Southern Plains were unchanged at $1.15 to $1.25 a bushel over the Jul corn contract, which settled at $4.42 1/2, up $0.03.
The CME Feeder Cattle Index for the seven days ended Thursday was $306.16 per cwt, up $1.30. This compares with Friday’s Aug contract settlement of $310.15, up $1.00.