Cattle Markets Continue Downward Trend Amid Government Intervention Fears

The Cattle Markets have been struggling lately, with the Live Cattle losing more than the Feeders. The Feeder Index was down 3.44 to 351.93 on August 13th. October'26 Feeders settled below the 50% retracement number for the second day in a row and is also below all moving averages.

The thought of the US Government pushing Cattle Markets lower is weighing on investors, with some speculating that this could be behind the recent decline. The Funds are not as bullish as they once were, with their long position in the Cattle Market down to just 66,000 contracts, a 22-month low.

The Soybean Oil Market has been playing hard to get but is expected to come around soon. A new trade recommended by an expert involves buying the December'26 Soybean Oil and selling the January'27 Soybean Oil, with a margin of just $165.00/Spread.