Chicago live cattle futures set new record highs today, supported by the highest beef prices in more than seven years.
Feeder cattle futures and hog futures also rose.
The April cattle contract peaked at 116.9 US cents per pound, the highest ever for a lead month cattle futures contract.
Market watchers believe the strong prices are the result of a shortage of market-ready cattle in the United States and strong beef exports.
Beef exports are running 40 percent ahead of last year at the same point, helped by the weak U.S. dollar.
U.S. Plains feedlots are pricing this week’s cattle at $115 per hundredweight, up $2 from last week’s sales.
U.S. beef prices are the highest since October 2003, with the U.S. Department of Agriculture’s Choice cutout at $175.27 per cwt. yesterday, up 85 cents from Monday.
Hog futures gained on strong gains in the cash market.
Iowa-southern Minnesota hogs were trading at about $64 per cwt., up from $62 on March 4.
