24-01-2014 05:31 AM | USA

Droughts are sending beef prices to record highs

Recent droughts have cast a long shadow over beef prices.

Live cattle contracts hit $1.43/lb. today, highest since the contract started in 1964, according to Bloomberg's Phoebe Sedgman.

In a recent note, ConvergEx's Nick Colas explained what's going on: Although we had a normal and even wet summer last year, it takes years for pastureland — and the volume of animals grazing on them — to recover from such a severe lack of precipitation.
Full Story : Business Insider