Cattle producers are facing tough margins. Economists with Kansas State University warn that cash-to-cash sales could lose money through the rest of the year.
“This is sort of a cash-to-cash projection, and it suggests feedlots that are in a cash-to-cash situation are going to be losing money the next several months. Feeder cattle prices have, I don’t like the term ceiling, but there definitely is downward pressure on prices from the buyers, given the margins that feedlots are facing,” said Glynn Tonsor.
The markets are still waiting on an expansion of the U.S. cattle herd.
