Market Report - Week of October 22, 2023

Cattle Market Report:‍

I often struggle with the way the futures market influences the cash market. In theory, it should work the other way around and does here and there. However, when the big players manipulate the markets with a large sell-off, or the algorithms grab onto other trends in the market and start selling, I question whether, or not, that should have a valid influence on cash prices. In my opinion, and I am no amazing expert at reading the futures, the downward movement of the markets this morning seems like manipulation. I will be watching it throughout the week. I anticipate a rebound of some sort. 

Prior to today’s activity, live cattle settled up from two weeks ago. Feeder cattle on the other hand had already shown downward momentum. A downward trend in the markets would make sense with added concern about inputs with additional unrest in oil-producing regions. I don’t have much to predict for the next few months. At this point, I am looking to spring to see what calf numbers look like, and how we go into the summer. There is still a lot of talk about consumer spending. I certainly expect a pullback as people look to holiday spending habits. I did my part today and purchased beef though I will admit I shopped in the discount section.‍

Grain Market Report:‍

Soybeans ended up over the last two weeks while corn ended slightly lower. Overall, there is some concern about the new international conflict in the Middle East, but it seems to have had less effect on markets so far. There is renewed discussion about China’s interest in our corn and soybeans, but the follow-through remains to be seen. 

Cattle and Grain Markets for October 20, 2023

‍Sheep Market Report:‍

Little action this week for sheep. Texas markets were steady but little comparison elsewhere. The USDA estimated domestic lamb and mutton meat production for the week ending October 14 totaled 2.07 million pounds on a 34,000-head slaughter this week compared to 2.04 million pounds on a 34,000-pound slaughter the week before. Imported lamb and mutton meat for the week ending October 7th totaled 4.92 million pounds.

Sheep markets for the week ending October 20, 2023

*No Quote ** Not Applicable

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‍*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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