Just when you thought the cattle markets were ready to turn the corner, the poor action late Thursday and sharp $2-3 losses on Friday again calls that into question. And it’s not positive news out of the cash cattle market either, where $131 bids from the packer disappeared as futures eroded Friday morning and we hear of some light trade developing late Friday afternoon at what sounds like mostly $129 in the South and $127 in the North, far below the $132+ expectation we held as late as Friday morning. Futures will be expected to open weak this morning. If there’s a bull story, it comes in the weather forecast where there’s a significant winter storm brewing and expected to bring blizzard conditions through Wednesday from the northern Panhandle, W. KS, E. CO, and W. NE, obviously not what livestock producers need, but maybe what the market needs?? Do remember the USDA’s monthly COF report will be out this Friday where early expectations have the on feed count up 2% vs last year, Oct placements down 3-4%, and Oct marketings down 4-5%.
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