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Packer Margins Continue To Languish

2013-02-26 16:13:00| Beef

By Len Steiner and Steve Meyer, CME Group Daily Livestock Report A critical leverage point in livestock and meat markets is packer margin.While producers determine long-run product supplies and the timing of those supplies with their decisions to breed animals and, in the case of cattle, place them on feed, packers make critical short-run decisions on how many animals to harvest and, consequently, how much product to put on the market given current demand and pipeline stocks. Packer margins have longer-term impact on the performance of packing companies and balancing capacity with animal numbers. read more

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