Cattle Take A Small Bounce

I'm Matt Rice with the Market Line Report for December 2nd. Cattle seeing a bit of a rise after yesterday's market close. Todd Horwitz shares his thoughts from the floor of the CME.

Horwitz- "Tuesdays livestock, we continue to see cattle under pressure and hogs tending to explode. I think live cattle are showing a little more life today, overall the markets are telling us a very good story. The story has been simple, feeder cattle, every time they go up to a resistance level. Which last week they went up to $1.66 to $1.68, they are most likely going to sell. That's exactly what they did, now back down here around $1.60. Probably get a little bit of a bounce, I would look at $1.64 now as the next level down, as they will stair step them down."

Chicago December Wheat ended yesterday dn 3 1/2, at 456 1/2. December corn ended yesterday up 2, at 367 1/2. Portland prices for soft white wheat of ordinary protein for Jan took a bit of a drop, dn 4, ranging from 4-71 1/2 to 5-30. Hard Red Winter wheat with 11 ½ % protein, prices for Dec. dropped 3, ranging from 5-49 to 5-74. DNS wheat with 14 % protein, prices for Dec. saw a big drop in numbers dn 20 3/4, ranging from 6-22 1/2 to 6-52 1/2. Dec. live cattle closed yesterday up $1.85 1/2, at 131.92 1/2. Jan. Feeder cattle were slightly up $1.85, at 164.60. Dec. class III milk was up 3 cents, at 14-65.