retail news in context, analysis with attitude

The Wall Street Journal reports that “U.S. cattle prices soared this week as the number of steers and heifers being fattened for slaughter fell, a sign of shrinking supplies and higher beef prices ahead ... Cattle prices have climbed more than 4% over the past week, driven by strong wholesale prices - those paid by grocery-store chains and restaurants - and data foreshadowing a decline in the number of cattle available to packers, who butcher and ship cuts to stores.”

However, the Journal writes, “the question remains how consumers will respond as cattle supplies decline and retail prices continue to climb. The USDA estimates the average retail price for beef already has risen 9.1% in the last year to $4.43 a pound.”
KC's View:
Seems like an easy question to answer. We’ll eat less meat and cheaper cuts.