Cattle futures close mixed, hogs retreat ahead of long weekend

CHICAGO, Jan 17 (Reuters) – Chicago Mercantile Exchange live cattle futures closed narrowly mixed on Friday, hovering just below long-term highs ahead of a long U.S. holiday weekend and Monday’s inauguration of U.S. President-elect Donald Trump.

Tight cattle supplies and unseasonably high beef prices continue to underpin the market, but commodity funds already hold a sizable bullish position in live cattle futures, a factor that slowed upward momentum this week.

Trade was choppy on Friday as market players awaited signals about U.S. trade policy under the incoming Trump administration. CME February live cattle futures settled up 0.150 cent at 196.750 cents per pound while the April contract fell 0.175 cent to end at 197.500 cents. Both contracts stayed below long-term highs set last week.

CME March feeder cattle ended Friday up 0.325 cent at 268.050 cents a pound.

“It just looks to be a little profit-taking here amid questions regarding tariffs,” said Rich Nelson, chief strategist for Allendale Inc.

Traders were also watching for clues about when the U.S. Department of Agriculture might resume cattle imports from Mexico, Nelson noted. The USDA blocked shipments in November over the discovery of the New World screwworm pest in Mexico.

Wholesale beef prices held near their highest levels since June of 2023. The USDA’s boxed-beef index for choice cuts rose 28 cents on Friday afternoon to $333.69 per hundredweight (cwt), just under Wednesday’s 19-month peak of $334.14.

CME lean hog futures also declined. April hogs settled down 2.225 cents at 88.325 cents per pound and front-month February hogs fell 1.175 cents to 81.125 cents per pound.

The USDA priced pork carcasses at $90.60 per cwt on Friday afternoon, up 21 cents from Thursday.

U.S. markets and most government offices will be closed on Monday for the Martin Luther King Jr holiday, which coincides with Trump’s inauguration.

(Reporting by Julie Ingwersen; Editing by Leslie Adler)