Steady trade dominated most of the south trading region last week with sales at $123 per cwt. In the north, $122.50 live and $195-$195.50 dressed moved most of the cattle.
The mostly steady trade was a disappointment to many cattle feeders anticipating a higher cash market. Holiday shortened kills, winter storms and several breakdowns in several plants have backed up the kill numbers. Moving forward we should be getting through the backlog of cattle due to these events, and have the ability to push the live market higher going forward.
The demand for beef remains robust heading into January, with the overall tons of beef being down due to some of the winter weather. Feeders could see a situation where it is critical for the packer to keep inventory around them, and potentially drive the cash market higher.