
Brazilian fed-cattle prices rose sharply in October, reaching record real levels in the Cepea series, which began in 1994. The São Paulo indicator was R$389.90 per arroba on October 30, up 7.03% for the month, while October’s average of R$379.55 was 7.5% above September; limited availability of finished cattle and steady beef demand were cited as drivers.
Tighter finished-cattle supply and solid beef demand are supporting cattle prices, which can improve feedlot returns and encourage feed use if margins remain favorable. Higher cattle prices could also increase downstream beef costs.
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