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 Choice cutout continued its normal seasonal decline, but the volume of sales jumped up again over 70,00 loads for the week. There have not been many weeks this year above 7,000 loads so it is an important number. Export numbers jumped above 1,000 loads which helped make that increase possible.
The most important item this week was that the out-front prices were very close to the current formula and negotiated prices, which has not been the case for quite some time. In fact, there were a few items that were sold at higher prices than the current prices. Many times this year, the out-front sales prices were at tremendous discounts to the current prices.