“MEAT CASINO”agrees the Wall Street Journal

When you look at the Wall Street Journal graph below you start to better understand why the cattle market has become hard to understand.  It rejects even falling in with the seasonal norms!

While many of us learn the physical skills of handling livestock and driving tractors when we are just kids, most of us still struggle to understand all the forces that affect the cattle market.  Unfortunately most of us don’t even care to learn about cattle marketing and markets until we are in a tight place. Ranching needs to make a profit to sustain a family and therefore in recent years understanding the market has become just that much harder yet more important.

Meat Casino cropped

While reading the Meat Casino WSJ it became more and more evident that even the experts don’t have a good grasp on it all.  Anyway it is an interesting read. Hit the link and get the full scoop.  Then check out what The Beef had to say this morning. Cash Trading $1 lower The Beef Read

“The CME has formed a working group with cattlemen to discuss fixes, including ways to increase the number of cash traders. The exchange shortened trading hours for the livestock futures contracts in February to confine market activity to the daytime, when liquidity is higher, after ranchers complained that speculators had too great an impact on prices in the evening trading.

“Every aspect of the cattle futures contract is under review to see if there’s a way to redesign so it’s a more effective tool for risk management,” Mr. Lehman said.”

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