The cash cattle market is expected to trade steady-to-lower this week, influencing cattle futures. This week’s Monday Market Sentiment predicts a second week of losses in the cash market with expectations showing a decrease of 68 cents to $125.02 per cwt.
The Monday Market Sentiment is a forecast of the upcoming weekly cash trade (5-Area weighted average price) prices reported by the USDA. This week’s prices declined, down $1.71 cents from the previous week. Last week the USDA announced that cash trade for the week ending November 30 was $125.70 per cwt.
Packers are expected to limit purchases this week in an effort to improve their margins and help support wholesale beef prices. Cash prices may be further inhibited as Reuters reports more cattle will be available compared to the previous week.
Each week the Cattle Trader Center, on behalf of Vance Publishing, 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 Kovanda, Bartlett Cattle.