Ed Czerwien, USDA Market News reporter in Amarillo, Texas, provides us with the latest outlook on boxed beef prices and the weekly cattle trade.
The two biggest items this week were the fact that the weekly Exports as reported in the Box Beef report continue to show big overseas sales with over 800 loads again this week, which was over 200 loads higher than the previous week.
Also the recent outfront sales continue to be running higher than the last few years and most of them are priced very close to the current average formula prices, which is much better than we have seen during many weeks this year. In fact there were a lot of weeks this year that had good outfront sales but they were priced considerably below the current weekly average formula prices so they pushed the cutout lower and had a negative impact. However the current outfront sales are having a much more positive impact.