– Dr. Andrew Griffith, Assistant Professor, Livestock Marketing Specialist, Department of Agricultural and Resource Economics, University of Tennessee
What impact are election results going to have on cattle markets? The same question could be and probably has been asked as it relates to all commodity markets, inflation, interest rates, the general economy and any other subject.
President elect Trump’s first administration was extremely favorable toward agriculture, which is expected to be the case this term. The largest direct impact on cattle prices and other agricultural commodities will likely come from international trade policy. Good, bad or indifferent, underlying supply and demand factors will influence prices more than the political climate. However, the political side of the equation could influence markets more this time around since the GOP will have majorities in both houses of Congress.
The first thing that should be on the radar from an agricultural standpoint is completing a new Farm Bill. The Farm Bill has been held up for a couple of years, but there should be a clearer path to completion in 2025.