Mixed Cattle Report

This is Matt Rice with the Market Line Report for July 20th. Lots of red finding its way into the beef market this morning, as prices dropped sharply after yesterday's market came to a close. Here's Jack Scoville from the floor of the CME in Chicago with the USDA.

Scoville "Livestock markets here in Chicago mostly lower on Tuesday. The cattle market and feeder cattle market were mostly lower. We had more of a mixed trade, but mostly lower in the hogs. It's been a bare market and a bare trend in these cattle markets here during the last several months and we've really been stuck in a down trend channel. If you want to call it that in both live and feeder cattle. Fundamentally the feeder cattle have kind of been leading the cash market lower. We've seen these very wide bases levels where we have a futures market nearby in the $1.10 -$1.12 range and cash up to $1.18 to $1.20."