There remains a high probability for elevated cattle prices in 2023 due to tighter beef supplies, even as the outlook dims for U.S. economic growth. However, despite the supply side of the economic ledger putting upward pressure on prices, the odds are that the demand side will dampen the cattle price outlook.
Under this scenario, it is worthwhile to consider what has been the outcome in previous years of similar economic forces. Looking at both supply and demand factors should help focus producers on how to manage risk in the uncertain environment they will face in 2023.
