Mackey: Packers Try to Keep Lid on Prices
Packers desperate to keep their grasp on the cattle market looked to their inventory to keep the pressure on cash prices. Cattle feeders reluctantly traded lower. The North, unlike most weeks, was the first to see activity. With the onset of the first real dose of hot weather cattle feeders encouraged to open up space looked to packers with the quickest delivery dates. Trade ranged from $185-190 cwt live and $296 cwt dressed—the regionals supporting the higher prices. By weeks end, many would report quicker delivery schedules called in on previously sold cattle. The south was extremely light for the week and business concluded at $182 cwt. When all the regions were tallied the total volume, when compared to a week ago, was down 80,923 head cash and grid combined.
Boxes continue an ascent into new highs. Friday’s Choice box was printed at $343.09. Most analysts will await reports of Father’s Day clearance at these high prices. Packers eager to fill orders Harvested 634,000 head, 18,000 more than the week previous. With the more aggressive pace and lighter trade, one begins to question their position in the weeks ahead.
Looking ahead, show lists aren’t looking to make big increases. The industry is current. Many have marketed aggressively and are now more cognizant of getting weight on their remaining inventory. Packers will look to keep prices under control waiting for more inventory and buying their time to 4th of July.
A native of Torrington, WY, Brodie Mackey joined Consolidated Beef Producers in the spring of 2013 after earning his B.S. from the University of Nebraska-Lincoln. Brodie’s focus at CBP includes customer development, cattle marketing and evaluation in Nebraska, Northeast Colorado, South Dakota and Wyoming. For more about Consolidated Beef Producers visit here.
