Written Commentary
MORNING LIVESTOCK OUTLOOK
The beef market is bullish, very bullish. But traders have been selling cattle mostly because of spreads. Feedlots sold lower this week fearing prices would go lower and packers used the lower cattle futures and higher grain markets to their advantage.
The US pork industry needs Mexico and Japan. Fortunately with cheap US dollar, Mexico is a big buyer of US pork.
From time to time China will be a big buyer of pork likely around their two major holidays but counting on China to be a major supporter of US pork probably won’t happen again. The mandate to be self-sufficient in meats by 2025 is not a goal, but a fact.
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