smear is right 100%. Back in 1974/5 there was a serious meat shortage in the USA because so many cattle had been previously slaughtered. Grocery stores sold frozen rabbit instead of chicken. Red meat price was sky high. Unfortunately for us, COW futures only extend through 2008, and 2008 is the year when the cattle are being slaughtered! This will be the low point. How can one buy 2009 and 2010 cattle now?
If you see no relationship between feed, fuel and livestock, don't buy. if the current USDA livestock report told you the trend in meat prices is flat and down, don't buy. COW will rise. Once current kill off is over, the thinned out supply, and basic demand (fast food, institutions etc..) will drive prices up.