Lean Hogs levels
- Factoring in the quote below, I think a Retracement of the move we saw, is in order.
- Also, given the historic price action a Retracement does seem likely.
Great little quote from some Forbes article:
"According to a United States Department of Agriculture (USDA) report, feeding China’s steadily increasing livestock population is a growing challenge. It takes about 3 kilograms of feed to produce each kilogram of meat. As a result, the USDA predicts China’s combined use of soy meal and corn 0.72% for animal feed will rise from 200 'mmt to more than 300 'mmt over the 10-year projection period.
Much of this feed grain must be imported. The USDA expects China’s soybean -0.30% imports to reach over 70% of global soybean -0.30% imports by 2024. It also anticipates that China will account for 40% of the rise in global corn 0.72% trade over the coming decade."
The counter argument could be summed up best by the wall street journal article:https://www.wsj.com/articles/meat-piles-up-as-production-grows-and-exports-slow-1532268000?ns=prod%2Faccounts-wsj
- Also, given the historic price action a Retracement does seem likely.
Great little quote from some Forbes article:
"According to a United States Department of Agriculture (USDA) report, feeding China’s steadily increasing livestock population is a growing challenge. It takes about 3 kilograms of feed to produce each kilogram of meat. As a result, the USDA predicts China’s combined use of soy meal and corn 0.72% for animal feed will rise from 200 'mmt to more than 300 'mmt over the 10-year projection period.
Much of this feed grain must be imported. The USDA expects China’s soybean -0.30% imports to reach over 70% of global soybean -0.30% imports by 2024. It also anticipates that China will account for 40% of the rise in global corn 0.72% trade over the coming decade."
The counter argument could be summed up best by the wall street journal article:https://www.wsj.com/articles/meat-piles-up-as-production-grows-and-exports-slow-1532268000?ns=prod%2Faccounts-wsj
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