Last week’s cash market results exceeded even the highest expert predictions, gaining $2.61 over the previous week. Wholesale beef prices keep charging higher and experts predict steady trading this week.
A survey of cattle-industry leaders suggests the average price for cash cattle will move higher for the fourth consecutive week. Although gains are not expected to mirror the last three weeks, our Monday Market Sentiment panel forecasts an increase of 13 cents to $126.26 per cwt this week.
The Monday Market Sentiment is a forecast of the upcoming weekly cash trade (5-Area weighted average price) prices reported by the USDA. The USDA announced that cash trade for the week increased to $126.13. The cash trade was $$2.61 higher than the previous week’s average.
Choice beef prices gained $1.51 per cwt Monday while select cuts were $1.78 per cwt higher. The higher prices may be due to packers attempting to offset higher costs for cash cattle. A rush of sales may also come from grocers stocking up at current prices to avoid paying more a few weeks from now when supplies shrink further.
Each week Drovers CattleNetwork awards a $100 gift certificate from Cabela's to the industry leader whose forecast comes closest to the 5-Area cash trade number reported by the USDA. The most recent winner was Joe Morgan, Poky Feeders.