SALEBARN TODAY:  Understanding RTI and National Steer Tracker Price

The RTI (7-day feeder cattle index) is a lot like the CME feeder cattle index, but it stands out because it uses the latest sales data. Feeder cattle futures get settled in cash using this index. This means that over time, the futures and cash markets will come back into alignment.

Right now, the RTI is at $234.39, which is $2.59 more than the nearby futures  ($231.80). Look at the futures prices above. This situation suggests that the cash market is trading higher than the futures, which is generally seen as a positive or bullish sign for feeder cattle futures.

On Tuesday, the National Steer Tracker Price for steers weighing 700-899 pounds was $237.75, up from $231.76 the day before. This Tuesday price was $5.95 higher than the nearby futures, which were at $231.80.

The National Steer Tracker Price represents the daily average for these specific steers. It tends to have larger price swings compared to the RTI, so don't be surprised by the fluctuations. As shown above, it went from $238.30 on the 17th, dropped to $231.16 on the 18th, and then rose again to $237.43 on the 19th. Monitoring the National Steer Tracker Price can provide valuable insights into the direction of the RTI.