As you’re contemplating the future impact of today’s genetic decisions, consider the marketability of both feeder calves and potential replacement heifer progeny.
With current fed cattle carcass weights 16 lb. lighter than a year ago marbling achievement, on average, is likely to underperform in contrast to the past two years.
From a cash price perspective, both cattle and beef markets continue on a relatively bullish run the past few weeks. Meanwhile, winter weather has hindered feedyard performance this season.
From a cattlemen’s perspective fed cattle prices have been “just good enough” since the first of the year, only showing some spark as recently as last week with the nearly $3/cwt. move.
Focusing on carcass quality can allow feeder cattle buyers to factor in higher returns based on better-than-projected feedlot performance and/or carcass quality premiums than average.
Cattle feeders capitalized on a tighter supply of market-ready cattle last week, while packers came back with sharply higher bids as they competed to own inventory needed to fulfill boxed beef sales commitments.
