USDA Reports
USDA’s latest cattle inventory and cattle on feed reports confirm the cyclical low is likely behind the industry, but structural headwinds and sky‑high calf prices are keeping expansion cautious and gradual.
Brad Kooima, Kooima Kooima Varilek, says the cattle charts look tough right now.
For Jerry Gulke, president of the Gulke Group, the action further confirmed the grain futures forged significant lows on June 30.
Corn futures ended 8 to 9 cents higher on Friday on the heels of the sharply higher wheat market and friendly numbers in the July WASDE.
July WASDE report cuts corn supplies more than expected, tightening global stocks and raising stakes for rest of growing season.
Corn and soybeans were lower on Thursday seeing further consolidation after hitting chart resistance and with the WASDE on Friday.
Grain markets were lower on Wednesday and to start Thursday, seeing profit taking after hitting key chart resistance and with cooler, wetter extended weather forecast for the Midwest. That’s according to Randy Martinson with Martinson Ag.
Allison Thompson with The Money Farm says the failure was likely position squaring heading into the three day holiday plus markets ran into chart resistance and saw some profit taking.