Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-06-01
future OF CATTLE
MARKET MENACED
Holidays Came at Time When
Some Recovery in Prices
Had Occurred.
BY FRANK A. WELLER,

Extraordinarily Influenced by a set OF
holidays, the cattle market is going into
probably the most crucial period of the
season with only the uncertain hand of
a slightly manifested economic factor to
steady it.
1t is crucial in that the holidays. Sc
fiouSly curtailing shipping demand,
come on the eve of partial price re-
covery from an almost perpendicular
dive to thus far the lowest levels of the
year. In addition, receipts have figured
heavily OF weighty steers-the very kind
for which the holidays have brought
the market virtually to a Standstill.
any Otner time, perhaps, a string OF
holidays would not be expected to in
duence the beef market unduly The
exception that proves the rule started
f. on Monday of last week In anticipa-
ton of no kosher killing in the East
from Thursday until the following We'd
nesday because of Rosh Chodesh Swan
and the first day of Shabuoth, the trade
in heavy cattle was almost paralyzed
with receipts excessively liberal and the
run made up mostly of fed steers
Downturns ranged from Is to so cents
Gyrations During Week.
Except that the following day brought
as too few cattle as Monday brought too
have swept all classes and grades to
new low levels. The upturn came de-
spite the almost total absence of East
ern shipping orders, local killers at Chi
cago and few shippers buying heavy
steers strong to Is cents higher.
For the remainder of the week sim
Mar gyrationS continued, but were I'M
able to tear prices from the point to
which they had rebounded from what
some observers believed to be the low
point OF the year. The crux of the sit
uation is the fact that after pounding
the market for week, holiday stagna-
ton will take up the cudgel again on
next Monday in keeping with the usual
feast practice of the Jewish Pentecost,
which calls for poultry and fish instead
Of meat.
On the face Of it the already weak
ened market will have perhaps its
greatest incentive to plunge lower than
ever. But the almost uneXplainable in
fluence that kept prices dancing ON the
brink of the chasm this week may re-
turn, aided by that yelled but potent
power economists call the production
cycle"
Essentially it is longtime PROPOSE
ton. Low prices discourage production
and short production encourages high
prices. The "cycle" has reached the low
production stage and started back up.
This year, however, there are extenuat-
ing circumstances. Texas and the other
range States are short of breeding stock
and any quick increase must come from
Nebraska, Kansas, Iowa and other
feeder States. Without the great herds
of the Southwest to spur it, production
may be slower than usual, allowing con-
sumption to keep abreast of it and con-
sequently bearing up the present level
Of prices.
There is only one thing wrong with
The general scheme of the production
cycle It usually counts on a rapid in
crease in human population and neces-
sarily an increasing demand for beef.
In the 80 years prior to 1900 the popu-
lation increased about so per cent.
Incomplete census returns indicate