Headwinds

[Logan52]

With high inflation and a generally poor economy, will the consumer continue to purchase beef as the high prices we have been seeing work their way into the supermarket? How will they choose between gas for the car and steak for the table?
Dry weather is starting the fall run a little early here in Kentucky. The buyers are complaining about sick calves as they do each late September and October.
Pound cows have been drifting lower and bawling calves are weaker in price. Yearlings are holding up a little better, but I wonder if that can be sustained.
Grass and hay are short.
Cow numbers are down, as well as cattle on feed, but do the headwinds we see argue for caution?

 

[bird dog]

If export weakens....look out below. As far as the U.S. consumer goes, I believe we are just starting to see the consumer pull back some. Restaurants and retail seem to be weakening or at least thats what the CEO's of the public companies are saying and why their stocks are trending down. On the other hand, as mentioned in numerous posts and as you mention, the drought has sent a lot of cows to the packers prematurely. Less supply. It may be a case of the prices holding up but total volume of pounds is less.

 

[Brute 23]

If export weakens....look out below. As far as the U.S. consumer goes, I believe we are just starting to see the consumer pull back some. Restaurants and retail seem to be weakening or at least thats what the CEO's of the public companies are saying and why their stocks are trending down. On the other hand, as mentioned in numerous posts and as you mention, the drought has sent a lot of cows to the packers prematurely. Less supply. It may be a case of the prices holding up but total volume of pounds is less.

Hopefully those two trends cross at a benficial time.

 

[wbvs58]

Sell all your meat overseas, buy in some good Australian meat to fill your supermarket shelves, problem solved.

Ken