LSU AgCenter beef cattle economist Ross Pruitt gives cattle producers a thumbs-up, saying “cattle prices should remain strong for 2015, after a brief dip during the past two months,” reports Drovers CattleNetwork.
“Auction barn prices have been down, but they’ve rebounded over the past couple of weeks,” said Pruitt.
He said current price forecasts show up to a $2 per pound increase for 500-pound cattle this year, although seasonal price variations could be more of a factor this year than in the past few years when prices did not make the usual decline in the third quarter.
Pruitt said the high beef prices have been driven by a large sell-off in recent years because of drought and lack of profitability. Improved pasture conditions last year allowed producers the ability to expand their herds which further fueled the rise in prices.