Written Commentary
Livestock Outlook
If packers can buy enough cattle this week, look for them to try to kill 650,000. Last week Kansas feedlots were the reason the spread narrowed between Southwest and Midwest cattle and why prices were up. They should hold out for higher prices this week around $2.00 higher, but there have been several times over the past couple of years, Kansas feedlots jump the gun and sell early. They are the key at the present time if prices are to narrow between regions.
There is concern countries will be shutting down when COVID 19 and flu hit. Wholesalers learned if they have supplies on hand, they can take advantage when supplies run short.
Strength in hams and bellies moving pork carcass early Monday up $2.61. However, final prices changed in hams which has become par for the course and the cutout ended up down 38 cents. The pork cutout is improving. Over the past 5 days the pork cutout is up $1.34.
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