CHICAGO – A turn to warmer weather in the United States and pent up demand for steaks and burgers ahead of the traditional grilling season sent wholesale prices for choice-grade beef to a record high of $205.91 per hundredweight on Monday, up 36 cents from the previous record set late last week.
Beef prices normally rise in the spring but this year's smaller beef supply coupled with the late arrival of warm spring cookout weather, triggered a strong increase in the beef market, analysts and traders said.
"Beef is seasonally strong this time of year. It usually tops out about now but what is different this year from past years is the beef supply is lower, so there is some question if the top is in," said Don Roose, president of U.S. Commodities, Des Moines, Iowa.
The cold soggy start to spring put outdoor cookouts on hold throughout most of April and early May, but with forecasts for more typical spring weather this week, grocers stocked up for a seasonal bump in sales of steaks and ground beef.
To read the rest of the story, please go to: Reuters