Cattle markets were on hold Wednesday 8/29/2018, consolidating within the Tuesday ranges. October Lean Hogs made an attempt to retrace some its losses but failed and settled below the 51.80 support level. The cash trade in cattle has been quiet all week, boxed prices remain firm and slaughter levels are steady as packers are in control of the market with a short kill week upcoming due to the Labor Day holiday. They are eager to press the cash market and put in a new low for the year. The low is just below $107.00 ($106.26) and was established in the last week of June. They are bidding $106 and producers are at $111.00 in Kansas. Iowa has traded small numbers at $107 on a live basis and $170 for dressed cattle. The trade negotiations with the US, Mexico and Canada are continuing and traders seem to be waiting for its conclusion. The US hopes for a completion of negotiations by the weekend and continue to put pressure on Canada.
For those interested I hold a weekly grain (with Sean Lusk) and livestock webinar on Thursday, August 30th at 3:00 pm. It is free for anyone who wants to sign up and the link for sign up is below. If you cannot attend live a recording will be sent to your email upon completion of the webinar.
**Call me for a free consultation for a marketing plan regarding your livestock needs.* *
Ben DiCostanzo
Senior Market Strategist
Walsh Trading, Inc.
Direct: 312.957.4163
888.391.7894
Fax: 312.256.0109,
www.walshtrading.com
RISK DISCLOSURE: THERE IS A SUBSTANTIAL RISK OF LOSS IN FUTURES AND OPTIONS TRADING. THIS REPORT IS A SOLICITATION FOR ENTERING A DERIVATIVES TRANSACTION AND ALL TRANSACTIONS INCLUDE A SUBSTANTIAL RISK OF LOSS. THE USE OF A STOP-LOSS ORDER MAY NOT NECESSARILY LIMIT YOUR LOSS TO THE INTENDED AMOUNT. WHILE CURRENT EVENTS, MARKET ANNOUNCEMENTS AND SEASONAL FACTORS ARE TYPICALLY BUILT INTO FUTURES PRICES, A MOVEMENT IN THE CASH MARKET WOULD NOT NECESSARILY MOVE IN TANDEM WITH THE RELATED FUTURES AND OPTIONS CONTRACTS.