USDA will release its Cattle on Feed report tomorrow. Analysts’ pre-report estimates peg the total number of cattle on feed as of 1 May at 101.5 percent of a year ago. The range of estimates was extremely tight, coming in between 101.2 and 101.8 percent. The implied inventory of cattle on feed would be 11.9 million head.
Last May, the cattle on feed inventory was the second highest on record so inventories are going to be large, but the real lever is the number of cattle coming in behind these large numbers, especially as cow slaughter is higher than normal. It is a long term bullish scenario for cattle supply and demand per se, but the overall inflationary environment and its impacts on domestic consumer beef demand and demand for...
What You Need to Know Today: The hot, dry weather forecast continues to drive strength in grain futures with corn and soybeans hitting another day of strong gains. Monday’s Crop Progress and Conditions data were in line with market expectations and showed relatively few concerns for the...
Yesterday we wrote about the Q1 GDP numbers and the June employment reports in an article entitled Real GDP for Q1 Relying on AI Buildout, Held Back by Consumer Spending. That article mentioned that consumer spending had become a drag on GDP. Nonetheless, real GDP in Q1 was revised upward to 2...
Key Takeaways: The Middle East and North Africa's arid climate and limited water resources have created a structural dependence on imported wheat. Government wheat tenders in major importing countries serve as important benchmarks for global trade, providing insight into exporter competitivene...
