How is Actual Ending Value determined?
Actual Ending Value (AEV) is determined by a national average cash price. Each commodity uses a specific report that is generally representative of cash markets across the country for that commodity. For fed cattle, AEV is determined by the 5-Area Weekly Weighted Average Direct Slaughter Steer Price for steers grading 35% to 65% choice sold FOB feedyard on a live weight basis. For swine, AEV is a two-day volume weighted average of the Negotiated and Swine Or Pork Market Formula national net prices. This is the same price as the CME lean hog cash index. The feeder cattle AEV is the CME feeder cattle cash index price.
