Written Commentary
MORNING LIVESTOCK OUTLOOK
Global beef prices remain high, too high adding to inflation. Economist are expecting to see inflation drop off into 2021. It doesn’t mean beef prices are going to fall off the cliff but become more in par with the cost of living.
Live cattle futures were down Thursday on light volume trading. After last week’s strong cash market, the trade was disappointed this week there was no follow through to the upside and cash is weaker this week.
Pork is cheap but apparently not cheap enough for the world market. Thursday’s net export sales at 19,800 metric tons were not good especially when Australia, China and Peru are not buying and to make matters worse they are cancelling previous purchases. It is good to see Mexico buying because if the US pork market lost Mexican buyers, it would be a world of hurt for the US pork industry.
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