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AMERICAN The Midwest Cattleman · March 10, 2022 · P12
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food products to customers 10 export markets all saw “It’s clear that our inter- and infrastructure challeng-
around the globe and that the gains in 2021, with six of the national trading partners es through the work of the
Biden-Harris Administra- 10 – China, Mexico, Canada, are responding favorably to a Administration’s Supply
tion’s agenda is working for South Korea, the Philippines, return to certainty from the Chain Task Force and calling
American farmers and pro- and Colombia – setting new United States,” Vilsack said. out ocean carriers that are
ducers,” Vilsack said. “This is records. Worldwide exports “We owe our thanks to Amer- putting profits above their
a major boost for the economy of many U.S. products, in- ica’s agricultural producers responsibility to serve both
as a whole, and particularly cluding soybeans, corn, beef, who always work hard to importers and exporters. And
for our rural communities, pork, dairy, distillers grains be reliable global suppliers we’re expanding opportuni-
with agricultural exports and pet food, also reached all- and the Biden-Harris Ad- ties for agricultural exports
stimulating local economic time highs. China remained ministration and USDA are by knocking down trade bar-
activity, helping maintain the top export destination, fighting hard on their be- riers and partnering with in-
our competitive edge glob- with a record $33 billion in half to keep our home-grown dustry on marketing and pro-
ally, supporting producers’ purchases, up 25 percent products moving around the motion efforts worldwide.”
bottom lines, and supporting from 2020, while Mexico world. We’re strengthening
more than 1.3 million jobs inched ahead of Canada to relationships with our trad- USDA
on the farm and in related capture the number two po- ing partners and holding
industries such as food pro- sition with a record $25.5 bil- those partners accountable
cessing and transportation.” lion, up 39 percent from last for their commitments. We’re
The United States’ top year. addressing transportation

TIGHTENING
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COVID in the US. 2022 gives ketings and
the appearance of change. placements,
Feeder cattle movements will reveal a
are reasonably strong drop in the
through January and Febru- number of cat-
ary. Prices likewise remain tle on feed over
strong as cattle feeding or- 120 or over 150
ganizations are more ag- days. However,
gressively chasing available the normal sea-
animals and lighter animals. sonal pattern
This is in the face of Cattle on which is an in-
Feed reports that have com- crease so an in-
municated reasonably strong ventory return-
placements through the fall ing to more
– for certain placements have normal levels.
not backed off. Dry weather While tight-
in the northern plains and in ening supplies
the mountain west, as well are being re-
as deteriorating wheat pas- vealed, the de-
ture conditions, are pushing mand side of
animals to the feeding sector the picture of
– which is all too pleased to the beef mar-
pay better than $2 a pound ket is nothing
for 5 weight animals. It is short of incred-
anticipated that February’s ible. Strong exports relative The fall run of calves has the cattle markets do not
report will reveal the extent to imports, headline retail persisted because of the lack chart like the grain markets.
of placements and reenforce beef prices, huge retail and of forage and price of it and Cattle do not jump to new
the likelihood of much short- packer margins are all evi- other feedstuffs. DEC corn fu- higher levels like soybeans
er placements towards May. dence of this demand. With tures hover at $6.00/bu some do. Rather there are per-
Federally inspected daily the downstream market ten months from expiration. sistence moves higher with
fed steer and heifer slaugh- conditions such as they are This is one of the strongest periodic sharp down moves.
ter has been remarkable then it is difficult to be bull- earliest prices with which I Live cattle contracts have
during February. January ish there. What seems more am familiar. But it’s hard to trends in place and have bro-
revealed many problem days reasonable is that retail and argue with that trend under- ken resistance – buy signals.
with 86 to 89 thousand head packer margins may shrink lying that contract. Speaking However, feeder cattle con-
slaughtered. Market watch- and improve the prices at the of. tracts are holding at resis-
ers had expected more as fed and feeder level. It will be The Markets tance and less so on more de-
certainly those animals were interesting to see what these What does the technical ferred contracts – sell signals.
available. Daily slaughter in margins become through picture say? The long-term Substantial improvements in
February has routinely been 2022. I believe we do not un- pattern is persistent on the feeder cattle prices will take
topping of the feedgrain and
greater than 90 thousand derstand the labor or operat- charts. There are uptrends in
head and some days pushing ing or shipping realities. place and resistance planes oilseed markets.
96 thousand. I anticipate the However, certainly all is are being broken as most live
March Cattle on Feed report, not good news and especially cattle contracts push into life
which shows February mar- for feeder cattle and calves. of contract highs. But again,