Limit Moves in Cattle 12 of the Past 14 Days
Cattle markets continue to make limit moves almost on a daily basis. It was to the downside on Friday. Normally on the floor of the CME, but for now from her home trading office in Chicago, here’s Virginia McGathey.
McGathey… “Part of the reason is the unemployment level. It's moving up so much that there's a lot of traders and certainly the meat markets are a little bit worried that maybe domestic demand is going to be on the decline. 12 out of the last 14 days, we've had a limit move. This is unprecedented. Something I've never seen in my lifetime in these markets. And it looks like it's not going to end anytime soon. Now the feeders were also limit down. Traders did worry about the difficulty in sustaining this demand, but the packers now are basically holding back with the markets just limit down every single day. They're going to wait and there's no reason for them to rush in and secure any of their cattle right now.”
Chicago May Wheat futures yesterday closed the day up $0.02 ¼ to $5.71 ¼.
May Corn was down $0.02 ½ to $3.46.
Portland prices unchanged for soft white wheat yesterday.
Ordinary protein still ranging from $6.05 to $6.15.
Also unchanged on the Club Wheat of Ordinary Protein $6.15 to $7.80.
Dark Northern Spring wheat up $0.05 ¾ ranging from $6.72 to $7.07 for 14% protein.
Live Cattle futures down the limit of $4.50 on the April board to $100.95. Feeder Cattle followed suit down $4.50 as well to $120.60.
Class III milk fell $0.38 to $15.32.