Ed Czerwien, USDA Market News reporter in Amarillo, TX, provides us with the latest outlook on boxed beef prices and the weekly cattle trade.
The Comprehensive or weekly average Choice cutout was $4.33 lower. This current situation is not totally uncommon when there is a big early season rally like we saw this year. Weather definitely has a much bigger impact on beef product sales during the early part of the grilling season. The 2014 big early season rally was followed by a similar decline.
The Choice Rib, which has really supported the upward movement of the Choice cutout, was $19 lower this week which was a very abnormal seasonal move. However recent cold and wet weather in some areas of the country has been terrible for grilling which no doubt impacts demand for higher priced steaks.