Cash fed cattle trade was active on Wednesday, surging $2 to $4 higher the day before Thanksgiving, with demand strong in all major cattle feeding regions.
Over the past 10 weeks, cattle feeders have gained market leverage in a rally the likes of which have not been seen in many years.
Packers were aggressive in obtaining inventory to start the new year, and the result was a cash cattle market that gained $2 in both the north and south.
Steers and heifers sold at auctions this week steady to $3 lower. AMS said with the holidays and the end of the year fast approaching, many auction markets saw heavy runs of cattle.
Cash cattle prices traded higher in the north, with dressed sales reported $3 to $5 higher. Feeder cattle markets saw a limited holiday-week test.
Packer’s had a stronger presence in last week's market, but not enough to make up for the erosion of the futures markets.
Fed cattle led the parade with cash prices $3 to $4 per cwt higher.
The rally in the cattle markets continued this week with solid gains in both cash fed cattle and the boxed beef cutout. Cash cattle prices are now at a level not seen since late June.