What weight is feeder cattle futures based on?
What weight is feeder cattle futures based on?
While feeder cattle futures are for feeder steers weighing around 750 lbs, basis can be estimated for any weight, sex, breed, or type of cattle.
What weight is the feeder cattle market based on?
700 to 899 pounds
Feeder Cattle futures (GF) represent young cattle that have grazed on pasture and reached a weight of 700 to 899 pounds. These cattle will be placed in a feedlot where they will be fed a customized grain-based diet for approximately four to six months or until they reach their full frame and weight potential.
What is the contract size for a feeder cattle future?
50,000 pounds
Feeder cattle futures contract specifications
| Exchange | Chicago Mercantile Exchange, FC |
|---|---|
| Contract Size | 50,000 pounds |
| Minimum Tick Size and Value | 0.025/cwt (0.025 cents per pound), worth $12.50 per contract. |
How much do feeder calves weigh?
calves up to 800 to 900 lb. yearlings. However, because packers prefer animals between 1,100 and 1,200 lbs., the most common weight of cattle placed on feed ranges from 500 to 700 lbs.
What is the feeder cattle index?
The Index is a seven-day weighted average and is defined as the total dollars sold during the seven-day period divided by the total pounds of feeder steers sold during the same seven-day period. Every pound of feeder steer sold during the seven-day period has the same impact on the final price.
What is the weight of a feeder calf?
What are the Feeder Cattle futures?
Feeder cattle are a popularly traded futures commodity which refers to cattle that have been raised to 600-800 pounds and are sent to feedlots in order to gain enough weight to be ready for slaughter (1000-1300 pounds) at which point they become live cattle. This process takes roughly 3-4 months.
What is the Feeder Cattle index?
How much does a cattle futures contract cost?
The contract size for the cattle futures are 40,000 pounds or 50,000 pounds respectively and priced in cents per pound and approximately representing 35 head, of cattle. The tick size is $0.00025 per pound or $10 per contract for Live Cattle and $12.50 per contract for Feeder Cattle.
What is the limit on Feeder Cattle?
May 2021: Initial Resetting of Price Limits for Live Cattle and Feeder Cattle Futures
| Contract Title | CME Rulebook Chapter | Current Initial Price Limit |
|---|---|---|
| Live Cattle futures | 101 | $0.04/lb. |
| Feeder Cattle futures | 102 | $0.05/lb. |
What is a feeder cattle futures contract?
Feeder Cattle Futures Market. Feeder cattle are a popularly traded futures commodity which refers to cattle that have been raised to 600-800 pounds and are sent to feedlots in order to gain enough weight to be ready for slaughter (1000-1300 pounds) at which point they become live cattle.
What are feeder cattle?
Learn more > Feeder cattle are a popularly traded futures commodity which refers to cattle that have been raised to 600-800 pounds and are sent to feedlots in order to gain enough weight to be ready for slaughter (1000-1300 pounds) at which point they become live cattle. This process takes roughly 3-4 months.
What is the purpose of a feeder cattle market index?
It can also allow traders to address price risk among those involved in the trade of feeder cattle and to assess supply and demand of cattle, feed, and for both the current and future outlook.
How do you play the feeder cattle market?
The best way to play the feeder cattle market is through the futures market, and the futures contracts are traded on the CME and through CME Globex electronic trading platform. Here is our archive with articles about other tradeable futures markets.