Hulett: Sideways Trade Continues
Cattle feeders in the South were faced with another disappointing week trading cattle. Once again there was not enough participation from packers to push the market any higher than $138 per cwt. This has been the issue for several weeks and appears to be the norm as we move forward.
Producers in the North also were forced into trading in a sideways market. Cash was mostly at $138 and dressed trade continued to be around the lower $220’s. Feeders in the North should be getting closer to being in a position to push the market somewhat higher.
April may be the last chance that cattle feeders have to push cash fed cattle prices higher. Committed numbers should increase as we go into May and June, making it harder for the independent producer to get cattle marketed. Packers will more than likely do a wonderful job of managing hours for the next 30 days to help keep a healthy margin around them until larger supplies show up.