Beef Magazine is part of the Global Exhibitions Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Supply Fundamentals Strong; Demand Is Another Issue

The latest cattle-on-feed number was down 6% compared to a year ago; placements were down 5%. Meanwhile, marketings were 9% below last year and 12% below two-year-ago levels. Cattle inventory numbers are tight, supplies are tight, and will remain so in the short term.

This market has been demand-driven ever since the financial meltdown; even then, it’s more about demand concerns than actual demand. With the auto industry buyout, layoffs and unemployment numbers dominating coverage, it isn't surprising that attitudes are bleak. Despite comparisons to the Great Depression, I wouldn't bet against the American economy or the American worker.