Most of 2014 saw record high prices, but the downward trend in the beef and cattle markets looks like it could carry into the New Year.
Packers aggressively sought inventory last week and cash fed cattle prices surged $2 per cwt., to instances of $3 higher for the week. Large trade volumes were reported in the North at $107 to $108 per cwt.
After beef prices saw an upward movement in the month of November, prices continued to climb in December ending just before the Christmas holiday with an increase of $3.30 per cwt month over month.
The 5-Area Accumulated Average Cattle Price decreased from $102.79 as of October 3 to $101.12 as of October 10.
The 5-Area Accumulated Average Cattle Price dropped yet again this week, moving from $101.12 on October 10 to $97.57 on October 17.
The August 2017 Feeder Cattle futures contract increased by $7.66/cwt. during November.
Wheat carry also trimmed vs. March
USDA’s monthly cattle on feed report, released Friday afternoon, provides some bearish news for summer futures contracts.