After live cattle futures ended 2014 up 23 percent, many are wondering if they can see increases for the sixth straight year.
The 2014 rise in cattle future prices can be attributed to the growth of the U.S. cattle herd, Agrimoney reported. At the start of 2014, the U.S. cattle herd was experiencing its lowest numbers since 1951. The decreasing cattle herd was caused by drought and high feed and grain prices.
Rabobank predicts that herds will continue to grow in 2015 as producers send less cattle to slaughter. Beef production is also expected to drop.