U. S.-fed cattle supply up, still historically low

The number of cattle being fattened in U. S. feedlots rose in November, but the tally is still near a historical low due to concerns the weak economy will hurt beef demand, analysts said. “Cattle-on-feed numbers grew seasonally from November to December, but the number of cattle-on-feed will be one of the lowest levels since

Commodity traders grow weary of market swings

“Everybody got run over by the bus going east. They got up only to be run over by the bus going west.” – CME TRADER GARY LARK From his desk alongside the Chicago Mercantile Exchange (CME) trading floor, Jim Brooks is seeing more ill-tempered cattle and hog traders nowadays as they cope with fast-moving markets


Corn market breaks $3, could fall more

Analysis by Sam Nelson U. S. corn prices fell through the key support level of US$3 per bushel on Dec. 5 for the first time in more than two years, signalling a further weakening could be in store as the contracting global economy hurts demand. The ethanol industry is being tested financially, with crude oil

Electronic trading the pits, traders say

Electronic trading of grains is now dominating markets that not long ago were the last bastion of arm-waving, shouting pit brokers, but the easy access to prices and speed has come at a price – wild market swings and lack of trust that is driving away users. The focus of the controversy on the Chicago


Grains lose allure to fund investors

The global economic turmoil that has cost banks billions of dollars in losses and slammed hedge funds has dimmed the appeal of grains as an asset class, with fundamentals for corn and wheat pointing to lower prices. Lately, supply and demand factors have been playing a greater role in determining grain prices than they did

U. S. grain group asks forced loadout of CBOT wheat

The National Grain and Feed Association (NGFA) has asked the Chicago Board of Trade to consider forcing buyers of CBOT wheat contracts to take physical delivery of grain in some instances in order to bring the contract and cash grain markets back in sync. The NGFA, the largest industry group of grain buyers and handlers,


USDA data snafu lends support, raises questions

“Having a wet planting season does create some difficulties in forecasting a lot of this information.” – Shawn McCambridge, Prudential Bache Commodities The U. S. government’s unprecedented correction of crop data on Oct. 28 gave some relief to grain markets battered by financial turmoil, but it may also have bruised the credibility of the U.

Lower grain prices seen dragging down fertilizers

Prices of fertilizer, which soared to record highs late this summer, are poised to come down to earth in coming months as sharply lower grain prices sour demand from farmers. Meanwhile, tight credit markets and growing fears that a global recession may further dampen demand for commodities could add pressure. “Purchasing and applications will be