By Dr. Andrew Griffith
Fed cattle traded $7 to $8 lower on a live basis compared to last week. Prices on a live basis was mainly $230 to $231 while dressed prices were mainly $365 to $366.
The 5-area weighted average prices through Thursday were $230.37 live, down $8.22 from last week and $365.35 dressed, down $11.98 from last week. A year ago, prices were $231.50 live and no dressed trade.
Finished cattle prices led the cattle complex lower again this week as calf and feeder cattle prices tend to mimic the direction and magnitude of the live cattle price. Packers are reaching into their bag of tricks to pull finished cattle prices lower including slowing chain speeds and even reducing shifts when and where possible. The market has not been favorable for packers for several months while cattle feeders raked in the profits. The packer continues to lose money, but they seem to want cattle feeders to share some of those losses. There is no certainty of where prices will be a week or month from now, but the summer heat is not going to contribute positively to prices. It may be a while before prices can push higher.
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