Cattle Continue To Drop

This is Matt Rice with the Market Line Report for, Aug 30th. Live cattle closing lower once again, producers looking for more demand to get the market back on its feet. Let's go to Gary Kozlowski with Farr Financial from the floor of the CME in Chicago.

Kozlowski "Good afternoon, Gary Kozlowski with Farr Financial coming to you from the CME. Let's take a look at the livestock, in the last 12 out of 13 days, we see cattle closing lower and it looks like today it's going to be the same scenario. The production is up a little too high, exports are about a half of what they were last week and about a half of what it's been the last 4 weeks. So the demand on the cattle is really not all that strong. The retail end of it, all those orders have been placed and again it just looks like we've got way too much on the inventory side. We're going to continue to see this fold out, we may even see the $1.06 range."

Chicago Dec. Wheat prices closed yesterday dn 10 ½, at 396 ½. Dec. corn ended the day dn 4 ¼, at 321. Portland prices for soft white wheat of Ordinary Protein for Oct. were dn 10 ½ to 24, ranging from 4-67 to 4-70. Hard Red Winter wheat with 11 ½ % protein, prices for Dec. were dn 14 ½, ranging from 4-77 ¼ to 5-17 ¼. DNS wheat with 14 % protein, prices for Nov. were dn 8 ½, ranging from 5-69 ¼ to 6-04 ¼. Dec. Live Cattle were dn $1.07 ½ to finish the day at 106.97 ½. Oct. Feeder cattle were dn 57 ½, at 135.20. Oct. class III milk was dn 5 cents at 16-53.