Cattle futures in the US stabilize after avian influenza shakes markets

Published 2024년 5월 6일

Tridge summary

CME cattle futures experienced volatility due to concerns about H5N1 avian influenza in ground beef samples, but stabilized towards the end of the week. The markets closed lower for the week despite initial rallies after the USDA confirmed that the samples tested negative. The concern had initially caused worries about consumer demand. The USDA is conducting further safety studies on beef related to H5N1 and has implemented new requirements for lactating dairy cattle to test negative for the virus before being shipped across state lines. A Texas dairy farm worker has been infected with the virus, highlighting the ongoing risk.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Chicago Mercantile Exchange (CME) cattle futures stabilised on Friday after US testing of ground beef samples for H5N1 avian influenza fuelled wild swings, but markets still closed lower for the week, reported Reuters. Live cattle and feeder cattle futures had rallied on Thursday after the US Department of Agriculture (USDA) said the samples from retail stores tested negative for the virus. On Wednesday, the markets had tumbled over concerns that a potential positive test would slash consumer demand. The USDA has confirmed bird flu in dairy herds in nine states since late March. Old dairy cattle are often processed into ground beef. "Today clearly showed even the computer algorithms were exhausted after the volatility and headlines the markets have faced this week," said Ross Baldwin, hedge strategist for AgMarket.Net. CME June live cattle futures finished down 0.125 cent at 176.675 cents per pound on Friday and lost about 1.1% for the week. August feeder cattle dipped 0.475 cent ...

Source: The Cattle Site