Written Commentary
MORNING LIVESTOCK OUTLOOK
Bear spreading continues to be a large part of trading. Trading was moderate on Tuesday and the trade continued selling after Monday’s steep drop. Spec traders are spreading buying cattle and selling hogs.
Boxed beef was up slightly Tuesday but it would down if Choice rib were not higher and much higher. Because Rib primals are moving up on seasonal demand, when buyers are finished buying for the holidays, beef prices could quickly move to the downside especially if they have been buying specifically for rib and loin sections and building up inventory of other cuts.
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