Recent cattle futures chart analysis points to a strong correlation between packer margins and live cattle futures movement. With margins widening, bullish momentum may hold through mid-year contracting cycles. However, cattle market traders are taking note that the outdoor grilling season has passed its peak, and with it, seasonal cattle slaughter levels tend to start rising. With cattle futures prices at recent record highs and with beef packers seeing their cutting margins presently in the red, the beef packers may be reluctant to raise their bids for cash cattle in such conditions. Prices for August are up 6.6% since the start of the month. If those gains hold, it would market the largest monthly percentage increase for prices since January 2024. Moreover, a positive close in August would mark sixth consecutive monthly gain for the commodity. According to recent cattle futures chart readings, the deferred contracts show cautious optimism, backed by USDA’s lower placement report. Market sentiment points to a mild rally into year-end if slaughter pace sustains under forecast levels.