Hey folks,
Last week I told you about the cattle herd crisis — how U.S. herds are sitting at 75-year lows and why beef prices were likely heading higher no matter what.
Well, things just got worse…
Now the U.S. is warning it may halt Mexican beef imports due to an outbreak of the New World screwworm — a flesh-eating fly that’s devastating livestock south of the border.
If you haven’t heard about this yet, you’re not alone.
It’s barely making the news… But if the U.S. moves forward with restricting Mexican beef?
That would slam the already-tight U.S. beef supply even harder.
Right now, Mexico supplies a major chunk of imported beef to the U.S. market.
It’s a critical pressure valve — especially when domestic herds are running light.
Take that away?
You’re talking about an immediate squeeze in availability, which leads to higher prices on grocery store shelves — and eventually higher readings in inflation data.
This is not not just a barbecue season problem…
This could bleed into CPI numbers, consumer spending patterns, and even how the Fed reacts to inflation over the next few months.
And just to layer a little more spice on the situation:
We’re heading into peak grilling season — and beef demand usually rises sharply in the summer.
Bottom line: The cost of that steak might be the first thing you notice.
But it’s the ripple effects that could end up mattering even more.
I just covered this — and a whole lot more — in today’s Market Radar session.
Watch the full episode here!
…and stay ahead of the next wave of market moves!
Stay sharp,
—Geof
P.S. Have you seen Trump’s secret weapon… and how I’m playing it to my advantage?
