Patent ID: 8306886

Claim:
A method for determining a future price of a selected meat cut type (MCT) of an animal for a selected future time period (FTP), the method including the steps implemented on a computer processor of: receiving the selected MCT; storing the selected MCT in a memory; calculating with the computer processor using a price model the future price of the selected MCT for the selected FTP, the price model expressed as a relationship between historical market price of the selected MCT for one or more time periods prior to the selected FTP and live animal futures defining a price of the live animal traded as a commodity; calculating with the computer processor a price premium associated with the future price, the price premium representing a monetary value associated with the future price in exchange for assuming a risk that the predicted future price may be different from the eventual market price of the selected MCT when reaching the selected FTP, and a hedge relationship defining the relative price of the live animal futures with the future price for the selected MCT; and sending the future price and the price premium for the selected MCT for presentation on a user interface.