• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Daniels Trading

Independent. Objective. Reliable.

Top Navigation

  • Open a Futures Account
  • Sign Up
  • Log in
  • 1.800.800.3840

Primary Navigation Menu

  • About
    • Who We Are
    • Services
    • Careers
    • Risk Disclosure
    • COVID-19
  • Trade
    • Broker-Assisted
    • Self-Directed / Online
    • Request Pricing
  • Hedge
    • DanielsAg Mobile App
    • Ag Marketing Plan
    • WASDE Analysis
    • Grain Resources
    • Livestock / Dairy Resources
    • Hedging Videos
    • Request Pricing
  • Invest
    • Automated Strategies
    • Managed Futures
    • Request Pricing
  • Advisories
    • GENERAL / FUNDAMENTAL
      • DT Newsletter
      • Insider Market Advisory
      • Turner’s Take Newsletter & Podcast
    • TECHNICAL ANALYSIS
      • The Cullen Outlook
      • Data Feed Trade
      • Jarboe Trading Journal
      • Trade Spotlight
    • AG MARKETING
      • Cattleman’s Advisory
      • The Swine Times
      • Technical Ag Knowledge
      • This Week in Grain
      • Turner’s Take Ag Marketing
    • THIRD-PARTY RESOURCES
      • CFRN
      • Moore Research Center, Inc. (MRCI)
      • OptionWorks®
      • TASMarketProfile.com
  • Education
    • CME Group Resource Center
    • Small Exchange Resources
    • Guides
    • Frequently Asked Questions
    • Order Entry Handbook
    • Webinars
  • Blog
    • Futures 101
    • Ag Marketing
    • Tips & Strategies
    • Trading Advisories
  • Resources
    • Trading Software
    • Quotes and Charts
    • Futures Calendars
    • Contract Specifications
    • Margin Requirements
    • Futures Calculator
  • Accounts
    • GAIN Capital Futures
    • StoneX
  • Contact
Home / Education / Markets / Livestock Futures Overview / Feeder Cattle Futures

Feeder Cattle Futures

Feeder Cattle Futures The world cattle population is well over 1 billion head, and in many cultures, such as in parts of Africa, having many cattle is a good signal of wealth. In order to be transferred to the feedlot and fattened for slaughter, feeder cattle must be between 1-2 years of age. The steer and cows that are chosen to become feeder cattle have usually been culled from a main herd because they are superfluous to breeding needs.

Feeder Cattle Futures Contract Specifications
Contract Size 50,000 pounds (˜23 metric tons)
Price Quotation Cents per pound
Trading Hours Monday 9:05 a.m. Central Time/CT-Opening. At 4:00 p.m. CT on Monday- Thursday, the markets halt and restart at 8:00 a.m. CT on the next morning. Friday 1:55 p.m. CT-Close
Minimum Price Fluctuation $.00025 per pound ($12.50 per contract)
Product Code CME Globex: GF
CME ClearPort: 62
Clearing: 62
TAS: GFT
Listed Contracts January (F), March (H), April (J), May (K), August (Q), September (U), October (V) & November (X)
Settlement Method Financially Settled
Last Trade Date Last Thursday of the contract month with exceptions for November and other months, 12:00 p.m.
Trade At Marker Or Trade At Settlement Rules (TAS) Trading at settlement is available for first 2 listed futures contract months, a calendar spread between the first and second contract month, and are subject to the existing TAS rules. The Last Trade Date for CME Livestock TAS products will be the second to last business day in the month prior to the named contract month.

Trading in all CME Livestock TAS products will be 9:05-13:00 Chicago time on Mondays or on the Tuesdays that follow a Monday holiday, and Tuesday through Friday 8:00-13:00, Chicago time.

TAS products will trade a total of four ticks above and below the settlement price in ticks of the corresponding futures contract (0.00025), off of a “Base Price” of 0 to create a differential (plus or minus 4 ticks) versus settlement in the underlying product on a 1 to 1 basis. A trade done at the Base Price of 0 will correspond to a “traditional” TAS trade which will clear exactly at the final settlement price of the day.

Settlement Procedures Livestock Futures Settlement Procedures
Exchange Rules These contracts are listed with, and subject to, the rules and regulations of CME.
Source: CME Group

Feeder Cattle Facts

Most feeder cattle are bred in the summer to ensure that their calves are born in the spring season because of both the temped climate and the abundance of pasture to feed on. Around 8 months of age, cattle are weaned from their mothers and sent to stocker operations in order to encourage growth to a substantial size (600-800 lbs.). After reaching this weight, feeder cattle are then sent to a feed lot where they are fed a certain diet to inhibit a quick weight gain. When feeder cattle mature to 1,200 lbs., they are sold to meat packers to be butchered. The U.S. exports over 2 billion pounds of beef every year.

Feeder cattle futures allow traders to be a part of an all-encompassing market that includes price demand for feed grain and the cattle themselves. 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.

Source: Barchart

Last updated October 2015

Additional Info

Recent Posts on Feeder Cattle

  • Beyond the Spotlight: January 11, 2021 (Cattle, Canadian, Bean Oil) (1/11/2021) - Beyond the Spotlight is a weekly video released on Mondays that spotlights two or three markets that may become trading opportunities for the week ahead. This enables you as a subscriber of the Trade Spotlight advisory service to look ahead with us, while potentially creating additional trading opportunities for yourself. The week’s video linked below… Read more.
  • Want to Trade Feeder Cattle Futures? What You Need to Get Started (11/19/2020) - Beef is one of the most sought-after agricultural products. On a global scale, about 134 billion pounds of beef are consumed every year. In 2019, the U.S. alone accounted for approximately 27 billion billion pounds, making it a primary contributor to the $1 trillion annual meat and poultry industry. According to the United Nations Food… Read more.
  • Trade Spotlight: Futures – Weekly Summary: Feeder Cattle (10/2/2020) - Stopped ouf of the short futures position in Feeder Cattle after trailing the stop loss once.

Primary Sidebar

Tips & Strategies

Finance

Don’t Turn Yourself Around

A good plan of action for your trades and investments in times like these could simply be to stay calm. Though exercises such as politics may demand a more passionate approach..

Fundamental Analysis and Position Trading

In the world’s financial markets, fundamental analysis is a go-to methodology for legions of active participants. When coupled with position trading strategies, the two disciplines provide a robust framework for consistent decision-making. Read on to learn how fundamental analysis and position trading can help you achieve your market-oriented objectives. What Is Fundamental Analysis? Fundamental analysis… Read more.

New Year by Tim Mossholder

Make A Resolution That Counts

While taking a loss is never fun, it could be the difference between net profits and losses at the close of 2021. Who knows? Maybe Peloton money will be chump change by 2022.

More Tips & Strategies

  • Steps for Energy Trading and Risk Management
  • Welcome to the Future of Interest Rates
  • Animal Spirits at Stock Market Highs
  • What Will a Contested Election Mean for the Futures Markets?
  • Are Energy Stocks Cool Again?
  • Is It Time to Limit Your Exposure to U.S. Dollar Devaluation?
Trustpilot

Footer

Site Navigation

  • Frequently Asked Questions
  • About Us
  • Customer Reviews
  • Contact Us
  • Futures Blog
  • Open a Futures Trading Account
  • Media Resources
  • Fund Your Account
  • Legal Notices

Contact Us

Daniels Trading
100 South Wacker Drive, Suite 1225
Chicago, IL 60606
+1.312.706.7600 Local / Int'l
+1.800.800.3840 Toll-Free
+1.312.706.7605 Fax

Connect with Us

Trustpilot

Copyright © 2021 · Daniels Trading. All rights reserved.

Risk Disclosure

This material is conveyed as a solicitation for entering into a derivatives transaction.

This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.

Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.

Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.

You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.

  • Risk Disclosure
  • Privacy Policy
  • California Residents Privacy Notice
  • Terms of Use
  • Back to top