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Show U Livestocle . Los Angeles, January 14, 1935 Effect of the sharply higher price schedule of meats, as a result of advancing livestock values, has been vastly different than many in the trade anticipated. As a matter of actual fact, there appears ap-pears to be a greater demand and less sales resistance to the higher price levels than when prices were extremely low. In discussing the matter with several packers, all told the same story. There is less quibbling on prices and less shopping shop-ping around. The answer is that many retail meat dealers have found that the more they shopped around, the more they were likely to be forced to pay for meat. A rising market is usually that way. People begin to anticipate their needs for fear that the next day may see still higher prices and it has worked out that way every day for the past three or four weeks. There is a vastly different undertone in the livestock and dressed meat trade than thf-re has been for several years. There is a real spirit of optimism among the livestock fraternity. Especially is that true in California where there is the happy combination of extremely excellent feed conditions condi-tions and a very broad demand for livestock at the 'highest prices that have prevailed in nearly four years. That there is a sound foundation for the higher price structure is beyond reasonable doubt. Our supplies sup-plies of livestock in the country as I a whole have been decimated by drouth, feed shortage and government govern-ment efforts. In the opinion of many in the trade, we have only begun to feel the effects of our generally admitted livestock shortage. short-age. There is no mistake but that ! 1934 witnessed a huge forced marketing of both cattle and hogs, this in addition to the millions of cattle that were purchased under the federal drouth emergency relief re-lief proogram. This forced slaugh- ter, brought on by high feed prices and actual scarcity of feeds, continued con-tinued right up until the end of 1934. There is still some forced marketing of cattle from areas where feed is scarce and high-priced, high-priced, but such movement has dwindled down to a volume that has little effect on the trade. As far as California is concerned, con-cerned, the present splendid range and pasture feed prospects will prevent heavy marketing of cattle cat-tle from that state during the next year. While large numbers of cattle cat-tle have been placed on California grass, a very large percentage are young stocker cattle that, with good feed conditions, would not be marketed . -until the summer of 1936. The trade generally does not anticipate a burdensome supply of California grass beef at any time in 1936 providing feed conditions continue to 'be as favorable as at present. It is even predicted middle western west-ern feed lot operators wiill be ready buyers of short feed cattle to finish on grain now possible on account of the increased prices of livestock. |