Cash trade developed earlier than usual last week in the South. There were some feeders who started to trade cattle at $138, and as the day progressed cattle feeders realized this was all the market was going to be. As the week progressed some feeders even moved cattle as low as $136.
Cattle feeders in the North waited out the market until later in the week, but still did not get the results they wanted. Bids of $138 covered most of the cash trade, and $220 was a very common number for dressed cattle.
The month of March will continue to bring more cooler cleanings on the packer’s part. This will continue to keep the number of cattle needed by the packer to minimum. This combined with the volatility of the market should keep the market in limbo in the weeks to come.
Brad Hulett is Director, Customer Development & Regional Manager, Kansas, at Consolidated Beef Producers, Inc.
