Predicting an abrupt end to the uptick in beef prices may be premature this year.
There’s no question that carcass weights were significantly lower in January than they would have been given a more typical weather pattern for the month.
November turkey demand provides a brief respite to seasonally increasing beef values, normally peaking in early December after a final post-Thanksgiving surge.
The fed cattle market over the past two weeks has declined $3/cwt. from the January high of $124/cwt.
USDA's latest steer and heifer grading report shows Prime carcasses totaled 9.6%, the highest level on record, with Choice accounting for 71%.
Starting out the month of May, we dove headlong into the seasonal market with a widening Choice/Select price spread.
The fed cattle price recovery that has been painstakingly built since early September has eroded in an extraordinary decline over the past two weeks.
Analysts says there isn’t much excitement in cattle markets thanks to an economy that has consumers “buying T-bone steaks instead of pork chops” but the market could turn upside down by the Spring.