Higher Fed Cattle Prices Ahead as Market Works Through Strong Supplies

Massive snowfall over the weekend in the west and front range of the Rocky Mountains, tornado activity in parts of Texas and pressure from ongoing drought conditions continue to challenge Plains ranchers. A new report shows amidst seasonal weather challenges, the last week of February also saw average carcass weights for marketed cattle lower than the same time the previous year for the first time in well over a year, a sign that producers are taking seriously cattle cycle calls to trim the nation’s herd size. Though production is slightly higher in the first two months of 2021 compared to the same time a year ago, the markets are signaling producers to continue trim the herd after the market works through current high supplies. If that reaches fruition, this fall could see higher prices, specifically in the fed cattle market, by mid-year. See more of the latest.