Beef packers continue to hold a much smaller position in terms of the cattle they have purchased for forward delivery. It would appear that packers perceive little risk in terms of their ability to source cattle. After all, on feed supplies of market-ready cattle are ample and will likely remain so in the next two months. Limiting the number of cattle bought on a contract basis offers flexibility. If demand hold up, then packers can go out in the market and buy more on a negotiated or formula basis. However, if demand dries up, be this because exports slow down or retail features change, then they don’t have many cattle on the books that they need to take delivery. So far it appears that the combination of robust beef demand over the summer and the smaller contracted supply has helped bolster overall fed cattle prices. –CME Daily Livestock Report Read more…
Recent Posts
Texas ranch nationally recognized for environmental stewardship
G Bar C Ranch wins 2023 National Environmental Stewardship Award Program Fort Worth (April 18, …
Continue Reading about Texas ranch nationally recognized for environmental stewardship
Crime Watch: Bull shot and killed in Cleveland
Texas & Southwestern Cattle Raisers Association Special Ranger Mike Boone, District 23 in East …
Continue Reading about Crime Watch: Bull shot and killed in Cleveland
Crime Watch: Horse and saddle missing in Erath County
Texas & Southwestern Cattle Raisers Association Special Ranger Zach Havens, District 9 in …
Continue Reading about Crime Watch: Horse and saddle missing in Erath County