The following commentary does not necessarily reflect the views of AgWeb or Farm Journal Media. The opinions expressed below are the author's own.
Kevin Van Trump has over 20 years of experience in the grain and livestock industry.
The CATTLE market has many traders scratching their head. In yesterday's trade the outside markets got hammered but cattle stayed steady and even sparked an impressive late day recovery. The word on the floor is that packers have had to pay up for cash cattle as of late, and there is now some talk of relatively tight feedlot supply and slow non-fed cattle slaughter. News that cash cattle traded $95.00 in the southern plains, up $2.00 on the week, also helped to support the market. Fears of a slowing economy is holding this market back and should remain a major concern in the coming months. Currently demand is holding up better than expected, as long as outside market forces are not too negative we should continue to see descent buying. We believe this market will continue to test new highs but will struggle to maintain ground as more negative global economic news impacts the markets.
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