Weak domestic demand pushes down finished cattle prices

The finished cattle price (boi gordo) fell across the major cattle-raising regions of Brazil this week. According to Scot Consulting’s benchmark prices, with 30-day payment terms and net of the Funrural tax, the average value in the main exporting states stands at R$/@ 301.8, down R$ 5.10 from last week and showing a cumulative drop of R$/@ 8.4 over the past three weeks. Partially offsetting this decline is the Brazilian currency’s relative strength, which has seen seven consecutive weeks of appreciation from the lows recorded in late December.