Cattle Market Bound by Narrow Trading Range
Earlier this year we saw extreme volatility in the cattle markets with limit moves almost daily. But those days are gone and cattle has been trading in a narrow range without breaking out to big moves in either direction. Coronavirus likely has something to do with this says Virginia McGathey.
McGathey… “There is some issues with meat plants signing that certificate for China, that there is no COVID-19. That seems to be slowing down the movement of the product and just causing a little bit of a backlog theaters were a little bit steady today. And I think the market is just kind of stabilizing somewhat. But the futures just seem to be optimistic about demand growth and that's giving some underlying support to the future. So it hasn't really had a huge decline, although it seems that some of the bearish things about the markets are just putting a lid on any ability for these markets to really turn around and get some significant footing for it to go a little bit higher.”
Live Cattle futures were down $0.27 ½ on the August board to $96.07 ½. Feeder Cattle for August up $0.37 ½ to $133.25.
Chicago July Wheat futures yesterday closed up $0.05 ½ to $4.86 ½.
July corn down sharply. Closing down $0.07 to $3.17 ½.
Class III milk fell again yesterday down $0.62 on the July board to $20.94.