US live cattle futures sag

Chicago Mercantile Exchange (CME) live cattle futures fell on Tuesday, on spillover weakness from feeder cattle futures and long liquidation as market players responded to a hefty net long position held by commodity funds, Reuters reported, citing analysts. CME February live cattle settled down 0.725 cent at 157.0 cents per pound and April futures fell 0.800 cent to 160.100 cents. March feeder cattle futures tumbled 1.575 cents to finish at 181.300 cents per pound, pressured by rising costs for corn, the main US cattle feed grain. Chicago Board of Trade March corn hit a two-month top on follow-through strength from last week's bullish US government supply/demand reports. "Any time you get the grain market moving higher like this, I think you are going to get a weaker cattle market, and to some extent, the hog market as well," said Sherman Newlin, an analyst with Risk Management Commodities. Others attributed the selling to fund-driven long liquidation. Data from the US Commodity ...