Fed cattle markets steady
Declining exports and weak domestic sales temper hopes for second half of 2010.
Good numbers of cattle traded early last week at prices which were mostly steady to $1 higher, with live trade in the South reported at $91 and northern dressed trade at $146-147. The early steady to higher trade last week was the result of short-bought packers looking for inventory ahead of the upcoming Fourth of July holiday, according to Vetterkind Cattle Brokerage analyst Troy Vetterkind, who noted that production levels were running about 3,000 head in front of the prior week tally, with the industry expecting a 665,000-head week.
He noted last Thursday that there has been good demand for beef products which will fit well in a grinding formula as demand for ground beef remains strong ahead of the holiday.
The boxed beef market was higher yesterday, mainly due to higher boneless beef markets, Vetterkind said. The rest of the beef complex held mostly steady (June 23), with the exception of round cuts, which now start to exhibit weakness. The beef market likely holds steady for the balance of the week, however, I would probably expect to see some weakness filter back into the cash beef trade once this pre-July 4th buying is completed.
Last Thursday, the midday boxed beef market was holding steady with the prior day with
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