Strong demand makes a grand entrance into the New Year as cattlemen kiss 2019 goodbye and look to 2020 for direction. Strong beef demand, aggressive packer inquiry and a yearn for more seem to be on the forefront of all producers' minds heading into the first full week of 2020 trade.
Historically, whenever a holiday comes around it seems as though the market tip-toes to the front of the store, turns off the open sign and runs to catch the first flight to warm sandy beaches before anyone can hint at doing business. This past year was no usual holiday complex though. All three weeks (Thanksgiving, Christmas and New Year's) waited sluggishly until late in the week and then trade finally broke loose. During the week of Thanksgiving the market jumped $2 to $4 higher, for the week of Christmas the market gained $2 to $3 and during the New Year's holiday trading week, the market climbed $2 to $4 higher.
This next week is expected to be nothing short of auctioneers shouting as fast as their tongue will twist, load upon load of feeders being bought and sold at sale barns, and there's even a potential for the cash cattle market to maintain its current strength. Nevertheless, the aggressive buying from packers in unusual buying weeks leaves cattlemen excited for the first quarter.
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ShayLe Stewart can be reached at email@example.com
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