All packers were active players in all regions in the days leading up to the Christmas weekend and prices rallied $2 per cwt. accordingly. Feeders reported good clean-up throughout the region.
Cash cattle in the South traded steady, and futures contracts had a decent week but packer needs during the holidays seem to have more of an effect than the futures market.
Cash cattle trade began on Tuesday last week, but bids were scarce even at lower money. Some feeders held strong for higher money, but with the decline in the CME board a higher market never surfaced.
Negotiated cash cattle traded started at higher money mid-week, but in their rush to move cattle some feeders agreed to lower prices and the week ended on a softer note.
Cash fed cattle began trading early last week, $1 higher than the week before. Packer margins continue to widen with each passing week, and feedyard showlists called manageable.
Feeders in the South hurried to sell cattle on a Tuesday-steady bid. The early trade made it easy on the Packers who seemed more than willing to take on the inventory at steady money.
Did outside factors or did cash trade cresting at $110 create the sell off Friday? This week’s cash bids from the packer might be the best answer to that question.
Continued support from the board could yield higher cash prices for most producers. Packers need for higher grading cattle could also help push prices higher in the weeks to come.