CME live cattle futures gain on cash price expectations
Oct 8 (Reuters) - CME live cattle futures moved upward on Tuesday in choppy action, led by anticipation of steady to higher cash prices, traders said. * Those cash cattle price expectations underpinned the October contract despite deliveries late Monday. * The CME reported 23 deliveries against October futures that will expire on Oct. 31. LIVE CATTLE - At 9:29 a.m. CDT (1429 GMT), October was up 0.325 cent at 128.200 cents per lb. December was at 132.350 cents, up 0.050 cent. * Fewer cattle up for sale this week and firm wholesale beef prices are factors that can lend cash support. * Last week, cash-basis cattle in the U.S. Plains moved at $125 to $126 per hundredweight (cwt). * Monday's wholesale choice beef price, or cutout, was up 18 cents per cwt from Friday at $192.33. The select price rose 77 cents to $177.43, according to analytical market research firm Urner Barry. * FEEDER CATTLE - October up 0.775 cent at 164.775 cents per lb. November was at 166.175 cents, 0.700 cent higher. * CME live cattle market gains and weak corn prices lift feeder cattle futures. LEAN HOGS - Spot October was up 0.025 cent at 91.625 cents per lb. Most-actively traded December was at 87.925 cents, 0.050 cent higher. * Spot October's discount to CME's last hog index last week at 96.38 cents encouraged buyers, traders said. * The CME Group Inc on Monday detailed how it will determine the final settlement price for the October 2013 lean hog contract next week if the U.S. government shutdown persists. * Short-covering and the prospect of tight hog supplies later this winter propped up deferred CME hog trading months. * Speculative traders bought December hog futures in the belief that the U.S. government's recent quarterly hogs report did not account for losses from the Porcine Epidemic Diarrhea virus (PEDv), which is deadly to baby pigs.
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