Bloomberg News released an article at the end of last week stating that cattle futures were heading for the biggest annual gain in 32 years on signs that U.S. livestock supplies trail meatpacker demand.
Kevin Good, an analyst with CattleFax, gave us the down and dirty facts about the statement this past Thursday.Kevin added that we’ve liquidated the beef cow herd 13 of the last 15 years. These tighter supplies come at a time of increased exports and a growing population. Bottom line, the per capita beef supplies have dropped about 15{b5a992b8e63762954627fabd02ae0ce4cbdce5a7319b086354586c608f95fa42} in the last 3 to 4 years. This is very supportive for higher prices.
© Northern Ag Network 2011
Haylie Shipp & Kaci Switzer
