To say it was a tough winter is perhaps an understatement. High feed costs, cold weather and the dollar at par or better weighed on the cattle market well into the spring. Add the misery of more stringent COOL requirements, and there have been some grumpy faces in the cattle market these days.
Brian Perillat, analyst with CanFax, says that there’s no denying it’s been a rough year, but he’s optimistic that a few pieces of the tight margin puzzle may be coming together to paint a more rosy picture moving into the fall. In this interview, Perillat tells Shaun Haney what needs to happen in order for calf prices to rebound and good margins to return for backgrounders and finishers (though not all of it is necessarily happy news (the shuttering of some finishing feedlots has happened and will continue).
If you cannot see the above player, click here to listen to the interview.