Cattle Down Limits
Another tough trading day on Thursday - especially in the cattle market with both live and feeders down the limit. On the grain side, Standard Grain’s Joe Vaclavik says it’s the ethanol situation that is really weighing things down.
Vaclavik… “Ethanol producers just can't make money with these low energy prices, so we are very likely to see continued soft production in ethanol until we see a drastic shift in the energy situation. This ethanol situation right now is, without a doubt, the biggest problem for the corn market and perhaps the grain complex in general. This is a bigger problem than 97 million acres. This is a bigger problem than the Coronavirus. This is the deal for the corn market right now is this ethanol situation.”
Chicago May Wheat futures yesterday down $0.08 ½ to $5.41 ½.
Kansas City Hard Red Winter Wheat down $0.11 to $4.64.
May Corn closed down a penny and a quarter to $3.33 ½.
Portland prices for soft white wheat of ordinary protein down as much as $0.10 yesterday. Now ranging from $6.00 to $6.10.
Club Wheat of Ordinary Protein down a dime ranging from $6.00 to $7.85.
Dark Northern Spring wheat prices down $0.05 ½ ranging from $6.54 to $6.94 for 14% protein.
Live Cattle futures down the $4.50 limit on the June board to $83.07 ½. Feeder Cattle followed suit down their $6.75 limit to $111.65 on the May board.
Class III milk fell another $0.24 which puts the May futures at $12.88.