U.S., China trade tensions could bubble over
- There is legitimate concern the phase one deal could unravel as tensions increase between the U.S. and China.
- On Tuesday, President Trump said he is ready to take action against China over its effort to impose national security laws on Hong Kong.
- DTN lead analyst, Todd Hultman, says a trade dispute with China is the number one problem for commodity prices the White House could actually do something about.
- Hultman realizes that the solution to this problem won’t be easy, but our decisions here in the U.S. are making it extremely difficult to get trade going again with China.
- The relationship we have with China when it comes to trade can make a real difference for our American farmers and ranchers.
Justice Department investigates high meat prices amid coronavirus crisis
- Consumers across our nation are facing significant prices at the meat counter, some are even finding empty shelves in their grocery stores.
- While consumers are facing increased prices at the grocery store, meat processors are paying farmers less and less for beef.
- According to the Bureau of Labor Statistics, the average price of ground beef is $6.22/lb. This price increased $.26 from March to April.
- Officials in the DOJ investigation are currently probing irregularities in pricing within our four big packers; JBS, Cargill, National Beef, and Tyson.
- Senator Chuck Grassley of Iowa has been at the forefront fighting for cattle producers over the past few months.
- Besides pushing for the DOJ to look into corruption and collusion within our processing sector, he has also brought forward a bill to increase negotiated cash trade
Boxed beef prices
- Choice boxed beef: $377.77 (-$7.72)
- Select boxed beef: $350.20 (-$9.82)