Tyson is closing the Lexington NE plant January 1st. Call it 3.5% of daily US capacity. Losing 3k direct jobs in a community of 10K. (A town that had doubled in size since the plant opened in 1990)
You will literally bend the the chain and hook line the animal goes down to be disassembled. The animal is gaining everyday under full feed, and guys really started to see dollar signs and went for it. Flip side is the packers paid up to keep going which encouraged them, and then didn't get all the meat moved as we came out of summer demand and now have to move a perishable product into ham and turkey holidays.
Hearing a lot of chatter this week that some feeders dug in their heels a little too much on selling and now we got some 1800-1900 pound steers that won't fit a packing line. That being said we might run 600K through this week which will be the biggest week in awhile so will see if the lots can get current, and the packers can move enough beef to get current.
Very much like when the county I'm from notably railroaded some people for a murder they didn't commit, then lost the lawsuit, and in the meantime dropped their insurance so the tax payers had to eat the full deal.
The futures market continues to be nuts, locking limit higher across the board, 2 days after putting in fresh lows for the move, and after a sharp down move in early action. We are almost back to cash so maybe it calms down there.