Majority of Beef Sold on Contract
MORNING LIVESTOCK OUTLOOK
Slaughter this week was under 650,000 head. It sure looks like the peak in the larger cattle kills are over and the decline in numbers is underway. Remember, packers can only push kills so hard. With the majority of beef sold on contract, they have to fill previously contracted beef orders with specifications in the contract.
Compared to a week ago, the CME Lean hog Index is just about steady but the CME Pork Index has dropped $2.56. Packers are buying hogs to fill pork orders and not taking extra. A producer moves hogs at the packers schedule.
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