Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-06-16
PRICES OF CATTLE
SHOW STEADY LOSS
Market Is Believed Affected
by General Recession
in Business.
BY FRANK I. WELLER,
Associated Press Farm Editor.


Reaching a new average low level fol
the season in sympathy with heavy re.
ceipts and narrow shipper demand, cat.
tie prices are believed acutely feeling
the effect of general business conditions
Declines in the dressed and wholesale
beef trade with consequent leSsening OF
shipper demand sent prices on good anc
choice steers in an almost perpendicu-
lar drive below the depths plumbed by
them during the week ending May II
Common and medium steers stopped
just above the level reached during that
time.
Records of other years indicate that
the season is close at hand when lower
grades of cattle usually work down I'M
der the impetus of large supply from
grazing sections in many parts of the
country. This descent on the price scale
is generally accompanied by a seasonal
rise in better grades because OF their
scarcity.
While not willing to predict that
prices will drop lower, some economists
do not visualize a material price climb
within the next few weeks. Prospects
ouence is the dress and wholesale beef
trade, big factors in determining shipper
outlet, are not bright and receipts gen.
orally are expected to averf &c heavy in
the aggregate.
Holdings Liquidated.
There are economists, however, who
have noted what they term a marked
effort to liquidate holdings, and in some
cases to advance the marketing date.
They contend that because cattle
could not be refinanced a large supply
already has been thrown on the market
which originally had been started for
late Summer or Fall markets, thereby
cutting down that expected supply. Too,
It is argued that expectation Of fewer
CRASHED cattle from the Southwest
may tend to strengthen the market for
medium cattle.
The two weeks descent Of the cattle
market to a new low followed a two
week steady rise in live prices from
so cents to 81 above the previous low
seasonal level, which came suddenly
during the week ending May II.
Poor retail business at the close OF
last week and mild demand forced down
all wholesale meat at Chicago, with the
execution of lamb. Beef and lamb were
both weak at New York.
Hog prices continued to huctuate
through a very narrow gauge which
they have maintained since about the
first of April They were down little
this week as compared with last. For
IL weeks the average at Chicago has
held around $40. During this period
slaughter supplies made about the usual
seasonal increase from the low point
registered last March. The average for
the first week in June was $10.14, IS
cents under that recorded during the
corresponding week in 1929.
The season, however, has been reached
when hog prices usually begin their rise.
While prospects of a relatively limited
supply favor a normal rise. weak de-
mand may Offset price increase.
Lamb Prices.
Lamb prices have shown a tendency
TO ease downward, with prices this week
65 cents lower than at the end of May
and So, or 20 per cent. below those Of
a year ago. Since early May the mar
kets have been getting lambs from Ten
nesSee, Kentucky and the two VirginiaS.
Last week the first consignment of new
crop lambs from Washington, Oregon
and Idaho reached Chicago These
three States will be contributing lib
orally to the market supply during the
next few weeks.
Reports indicate that, with the ex-
ception of Texas, lambing conditions in
most of the late producing States were
more favorable this year than last and
that pasture and weather conditions
have favored lamb development. Mar
keting this month probably will be
larger than in June last year, but 1t Is
uncertain as yet whether supplies in
July and August will exceed the heavy
marketing in those months Of last year.
The demand situation gives little in
dication Of other than a slow recovery
in business. So far, there has been but
little contracting for feeder lambs. as
both producers and feeders prefer to
wait DEVELOPMENTS before making COM
mitments.