# Processing capacity, cattle supplies hurting fed cattle prices - Brownfield Ag News

> Purdue economist Michael Langemeier says high cattle supplies on feed and limited packing capacity are pulling down fed cattle prices more than corn costs are. He adds that fewer cattle on feed could improve the price outlook for the second half of the year.

- Date: 2021-05-12 · published 2021-05-12T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/47233-processing-capacity-cattle-supplies-hurting-fed-cattle-prices-brownfield-ag-news
- Commodities: [Live Cattle](https://feedsoft.ai/c/LCATTLE.md)

## Why it matters

Packing capacity, not feed costs, is the main constraint on fed cattle prices in this view, which limits how much higher corn helps or hurts the cattle complex. Reduced cattle on feed could support a later price recovery.

## Read by commodity

- LCATTLE: bearish ▼

## Sources

- brownfieldagnews.com: https://www.brownfieldagnews.com/news/processing-capacity-cattle-supplies-hurting-fed-cattle-prices/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.