Futures Market News
California case of Mad Cow Disease unlikely to damage cattle futures market
Apr 25, 2012 08:44 AM
Markets for cattle futures were minimally impacted by the U.S.' first reported case of Mad Cow Disease since 2006, according to Bloomberg.
The livestock commodity was on the uptick following the Central California case. The ministry of agriculture of Mexico, a top trade partner to the U.S., anticipates cattle trade to remain as it was prior to the West Coast case reported earlier this week.
"The rebound came as major Asian buyers, including Japan, said they were not taking any measures against U.S. beef imports," analyst and broker Toshimitsu Kawanabe with Central Shojitold told the news source. Nonetheless "this may not last long as consumers in those importing nations will shy away from U.S. beef on food safety concerns and seek other origins, such as Australian beef."
At 8 a.m. on Wednesday, cattle futures gained 0.34 percent, a 0.00375 cent lift to $1.1195 per pound.
Also known as bovine spongiform encephalopathy, the brain-wasting scourge was confirmed Tuesday by the U.S. Department of Agriculture in a dairy cow, Reuters reports. The first case of BSE was in 2003 and it caused $3 billion in export losses in the U.S.
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