While a bottoming out is likely ahead, the cattle futures trend through April and May has been predominately bearish.External factors appear to be affecting the demand side of the market. With a rainy spring in the central plains and gas prices well over 4.00 a gallon, the BBQ season is off to a slow start. Drought conditions in the south should add to this counter balance of market equilibrium with a boosted supply. After trading near the 121.00 range, Cattle closed on 4/29 at 113.35 for June futures. The weekly outlook appears to remain bearish with the next downside target falling around 109.00.
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