
Commentary says Australian beef is losing price competitiveness in export markets after Costco shifted about 15,000 tonnes of Korean supply to US beef. It cites a 30 to 70 cents per pound price gap, US herd growth to 93.6 million head, and a 42 percent rise in US exports to Korea in 2016.
A widening price gap favoring US beef in Korea shifts export demand away from Australian cattle and supports pressure on Australian cattle prices.
After 121 past bearish trade events, Live Cattle moved a median -0.6% over 5 sessions (40% higher; middle half -1.6% to +0.8%), and -0.3% over 20.
After 87 past bearish trade events, Feeder Cattle moved a median +0.4% over 5 sessions (54% higher; middle half -3.2% to +1.9%), and +1.1% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.