Cattle futures traded lower for a third consecutive session on Thursday as headline risk continued throughout the complex. The market has experienced increased volatility since falling from its contract highs in October. 

Live cattle traded $6.40 lower on Thursday to $218.87 per cwt. Selling stopped short of the 200-day moving average, which has so far contained selling since last Thursday. Feeder cattle futures traded $9.25 lower, a limit down move, to $318.22.

Boxed beef prices moved lower this week, with the choice cutout trading near $374 per cwt, the lowest since Oct. 23. Prices continued to trade well above year-ago levels amid relatively tight domestic supplies.

The Trump administration seems highly focused on lower U.S. beef prices for consumers through various methods. President Trump recently called for the Justice Department to look into anti-competitive practices among meatpackers that could be keeping prices high. Additionally, the administration wants to explore expanding meatpacking capacity in the U.S. despite record-low cattle supplies.

Three factors to watch out for in the cattle markets moving forward will be Argentinian beef imports following the increased tariff quota, whether the Trump administration will remove tariffs on Brazilian beef, and if the administration reopens the border to cattle imports from Mexico. 

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.