Written Commentary
MORNING LIVESTOCK OUTLOOK
On Monday morning’s boxed beef movement there were more loads of Select beef moved than Choice beef. It is highly unusual to see sales like it. By afternoon sales Select was 42% of the total pounds of beef sold, still far too much Select. First of all there are too many lower grade Select cattle being sold in the Southwest and secondly, with consumers concerned about inflation now and possible recession late 2022 or into 2023, they are buying and they can buy more cheaper Select beef.
Hog prices are going down and pork prices have been slowly improving. It is positive for packers when hog prices drop and pork moves up. But it appears packers are also limiting slaughter as weights increase and for the producer, it is negative.
Learn more about Chris Lehner here
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
