Market Report - July 28th, 2023

Market Analysis July 28, 2023

Ross Bronson, Ag Risk Consultant, Redd Summit Advisors

Cattle Market Report:

  Cattle markets have been basically sideways the last two weeks. I still think that packers and feeders are trying to create a strategy for moving forward. It seems like buyers are playing things from one week to the next. There’s still a lot of discussion about consumer spending, especially since there was another rate hike. Most agree that spending will shift, but that has not come to fruition yet. My guess would be that the market follows normal seasonal trends at the higher prices through the end of the year. Meaning without a significant correction. I would anticipate a better plan from the feeders and packers at that point. To me, that looks like less volatility in the markets and possibly a small correction in price going into next summer. 

Grain Market Report:

Corn Went for a ride the last two weeks ending close to where it started. There seems to be some question as to the accuracy of USDA’s yield projections for this year. Dry weather has concerned a lot of producers. There are plenty planning to chop for silage. Soybeans are up over the last two weeks but had a sharp downturn the end of the week.  As of this writing the downward trend continued early Monday. 

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Sheep Market Report:

San Angelo was steady to $5 higher. Hamilton was steady, and Goldthwaite trended lower last week. Fredericksburg was steady on heavier lambs and lower on light. New Holland was steady as well. The USDA estimated domestic lamb and mutton meat production for the week ending July 22nd totaled 2.11 million pounds on a 33,000 head slaughter this week compared to 2.08 million pounds and 32,000 head the previous week. Imported lamb and mutton meat for the week totaled 5.1 million pounds which is 245 percent of the domestic production for the same period.

Hay Market Report:

Hay is moving more now. It seems that activity has picked up and that prices might be stabilizing. Exporters are sending more to Japan and Korea, but China still isn’t showing much interest. Dairy prices have improved but it hasn’t affected their interest in buying yet.  

*Ross Bronson and Redd Summit Advisors are not financial advisors, and this market report is in no way intended to provide financial advice. This commentary is merely meant to be insight and input about current market conditions. It is recommended that any market commentary be compared to your own trusted sources, experience, and market evaluation. Especially those that are more specific to your regional market dynamics. 

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