As market analysts, it's our job to provide our readers the most current and up to date information available. Knowing that markets can be heavily influenced by external factors it's important to keep an eye on all possible factors and understand how they could positively or negatively affect the marketplace. We often wish that understanding the cattle market was as easy as knowing cattle and knowing what they're worth -- but unfortunately, it's not that way.
By now you have probably heard that the futures market took the news of the coronavirus spreading to Japan and South Korea pretty hard. All three livestock contracts closed Monday in the red and some contracts closed with limit losses. It's important to know what's happening in the market, but because the market is made up of people, the market often trades emotionally.
Sometimes there is a misunderstanding with headlines, news-briefings and newfound information. Not every bit of data shared is meant to affect the market. It's important to understand what's happening to economies that the U.S. depends on for healthy trade and what's changed from day to day. However, the market shouldn't break in two every time there is an announcement of something new. It's important that we all educate ourselves on the matters at hand, and make sound, unemotional decisions when it comes to trade and finances.
Check out the latest Cattle Market News Tip-Sheet on the DTN/Progressive Farmer Facebook Page or click on the link below to listen to a recap of last week's market, including more on the emotion in the marketplace.
© Copyright 2020 DTN/The Progressive Farmer. All rights reserved.