TheCattleSite.com - news, features, articles and disease information for the cattle industry

News

USDA Cattle-on-Feed Report Deemed Slightly Bearish

27 January 2014
Jim Wyckoff Commentary -  TheCropSite

US - Department of Agriculture showed all three categories slightly favouring the bearish camp as U.S. cattle on feed as of January 1 came in at 95 per cent of the year-ago level, reports Jim Wykoff, TheCattleSite analyst.

That topped pre-report trade estimates. Cattle placed on feed were 101 per cent of year-ago levels, which was in line with market expectations.

Marketed animals were 99 per cent of one year ago, which was also in line with market forecasts.

The USDA data could prompt more profit taking in live cattle futures early this week, after record highs were seen in both futures markets and the cash cattle market last week.

However, severe winter weather in the U.S. midsection will slow both cattle and hog movement to market, which could limit selling pressure in the futures markets.

High winds, extremely cold temperatures and poor road conditions are seen across the central U.S. to start the trading week.

TheCattleSite News Desk

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission (CFTC) has said about futures trading (and I agree 100%): 1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.



Our Sponsors

Partners


Seasonal Picks

Charismatic Cows and Beefcake Bulls