Can Cattle Slaughter Weights Get Any Higher?
Heavier cattle slaughter weights contributed most of the increase in beef supplies in 1998 and have been a culprit in holding prices in check for the first of 1999. For instance, from January to June, slaughter weights average 12lbs. per head higher than in 1998, and in 1998 they were 29 lbs. higher than in 1997. Cattle slaughter,on the other hand, was 1% higher from January to June in 1999 and 3% lower in 1998 than 1997. Beef supplies were 3 % higher in 1999 and 1.5 % higher in 1998 all as a result of weights. The good news is that weights aren’t likely to get a whole lot heavier over the next year so that as cattle slaughter comes down, beef production will also. The bad news is that weights will remain high. Corn Prices Can Drop Further Grain prices are an important factor in determining what feeder cattle prices will be. It is looking more and more likely that the grain market hasn’t reached bottom yet as rains and warm weather hit the mid west – often. Another large corn crop coul
