Live Cattle
Short Term: Down
Long Term: Down
Opening Calls: Sharply Higher

Live cattle futures came to life on Friday, posting limit gains into the closing bell, ahead of what turned out to be a very friendly cattle on feed report. The report showed total on feed at 100%, placements of 89% and marketings at 104% from a year ago. We have expanded limits of 4.50 in the live cattle on Monday and could see those limits tested in early morning activity. The placements were far and away the smallest November number on record and along with the weights dramatic drop could signal an extended recovery in the fat market.

Feeder Cattle
Short Term: Down
Long Term: Down
Opening Call: 100-200 Higher

Feeder cattle futures followed the fats to limit higher trade on Friday and will see limits expanded to 6.75 for Monday's trading session. The surprisingly lower placement number should be enough to kick start a recovery in the cash trade, although continued record losses out of feedlot closeouts will likely keep some cattle feeders out of the sale barns until after the 1st of the year. Sales in the country will likely be limited in number until the two week Holiday season has run its' course.

Bret Crotts
Schwieterman Marketing, LLC