Packers are struggling to maintain slaughter schedules due to extremely current feedlot inventories

Packers are struggling to maintain slaughter schedules due to extremely current feedlot inventories that have pushed June fed cattle futures up 15 percent from a month ago, analysts at the Daily Livestock Report (DLR) said.“Extreme weather events in cattle country in recent days further compounded the issue, and they are expected to cause short-term disruptions and further impact cattle weights,” the analysts wrote.A weekend snowstorm across the Midwest may have killed thousands of animals, while road closures and power outages hampered efforts to keep cattle fed and confined, Bloombergreported. End users coming into the spot market to fill Memorial Day needs are finding that a significant portion of the supply is spoken for, according to the DLR analysts.Packers have sold more beef on a forward basis than before, and retailers and foodservice operators likely budgeted for lower prices and adjusted promotions and menu prices accordingly, they said.Demand for red meat appears strong, with USDA’s latest cold storage report showing record reductions in frozen inventories of beef and pork.