Beef cattle fell by up to 6.25% in the week; the trend for May is for further declines

The Brazilian beef cattle market has once again seen falling prices amid increased slaughter rates by meatpackers. According to Safras & Mercado analyst Fernando Iglesias, the business environment still suggests that this trend will continue in the short term, given the market's seasonality, which is quite clear. “May usually marks the peak of the beef cattle harvest and traditionally has a negative effect on prices. On the other hand, the very strong demand, especially in exports, is a limiting factor for greater downward movements in beef prices, combined with the tendency for consumption to increase in the first half of the month,” he says. The wholesale market recorded a drop in prices, reflecting the frustrated expectation of good sales throughout the first half of May. “Apparently, not even Mother's Day had a big effect on the market. It remains to be seen how the stock will be replenished next week after weekend consumption. The downward trend should intensify in the ...