Live cattle futures higher on strengthening cash market, short covering

Live cattle futures have surged due to a strengthening cash market and short covering ahead of the weekend. The Chicago Mercantile Exchange (CME) October live cattle futures settled 1.85 cents higher to 219.675 cents per pound, while CME October feeder cattle rose 4.95 cents to 332.5 cents per pound. Traders point to a bounce off last week's lows as a key factor in the price increase. Boxed beef prices have been relatively resilient, despite concerns about consumer demand due to inflation and high gas prices. Analyst Austin Schroeder notes that elevated gas prices remain a concern for the future of beef consumption. In other news, the US has detected its first case of New World screwworm in southern Texas, near the Mexican border, according to the USDA. The parasite has been a concern for US cattle farmers, who have struggled to control its spread. The re-opening of the US-Mexico border to cattle imports has largely been factored into the market, with small numbers of cattle moving through the open port. In contrast, pork prices have declined, with the most actively traded October lean hog contract closing 1.625 cents lower at 81.525 cents per pound. Wholesale pork carcass values have risen, however, to $92.11, up 30 cents from the previous day.