Written Commentary
Livestock AM Outlook
Monday, if Live Cattle follow strength in US stock indexes, they should be higher. However, higher stock markets are going to be what reporters can use for a better market. Underlying support comes from packers making big bucks and the demand for boxed beef.
Boxed beef is moving. Consumers are buying up ground beef and processed beef on concerns of escalating COVID 19 and retailers are buying high cuts like rib sections ahead of holidays.
Slight improvement in the pork carcass from a week ago. Of course if hams were to dump anytime, with 75.00 to 80.00 loins it would probably go downhill fast. The emphasis is on hams and loins because they make up 50% of the cutout. Mexico remains the week after week consistent best buyer and strong Peso could insure Mexico buying until it breaks.
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.
