WLI

Cattle futures extended gains Friday.

Live Cattle futures were an average of 79¢ higher. Feeder Cattle futures were an average of 53¢ higher, except for 25¢ lower in the back contract.

Week to week on Friday, Live Cattle futures closed an average of $2.01 higher, and Feeder Cattle futures closed an average of $6.22 higher.

Negotiated cash fed cattle trade was limited on moderate demand in Kansas and Nebraska through Friday afternoon, according to the Agricultural Marketing Service. Although too few transactions to trend, there were some FOB live trades at $258/cwt.

Elsewhere, trade was mostly inactive on moderate demand.

Based on established trade for the week, FOB live prices were $1 lower in the Texas Panhandle at $256/cwt., steady to $1 higher in Kansas at $257-$258, mainly $1 lower in Nebraska at $256 and steady to $2 lower in the western Corn Belt at $256. Dressed delivered prices were mainly $405, which was mostly steady.

Choice boxed beef cutout value was 4¢ higher Friday afternoon at $392.66/cwt. Select was 35¢ lower at $383.04. Week to week on Friday, Choice boxed beef cutout value was $1.23 higher, but Select was 49¢ lower.

Total cattle slaughter last week of 533,000 head was 85,000 head more than the previous week but 48,000 head fewer than the same week last year. Year-to-date total cattle slaughter of 11.7 million head was 1.2 million head fewer (-9.1%) than the same time last year. Year-to-date beef production of 10.5 billion pounds was 726.6 million pounds less (-6.5%).

Grain and Soybean futures continued lower Friday with pressure from positive weather.

Soybean futures were 4¢ to 8¢ lower through near Jan and then mostly 2¢ lower.

Kansas City HRW Wheat futures were fractionally mixed to 3¢ lower through May ’27 and then 5¢ to 7¢ lower.

Corn futures were 4¢ to 7¢ lower through Jly ‘27. Week to week on Friday, they were an average of 28¢ lower through the front six contracts. That’s an average of 40¢ lower over the past two weeks in those same contracts.

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Major U.S. financial indices melted lower Friday, fueled by an exodus in chip stocks. On the positive side of the ledger, the U.S. added more jobs than expected last month.

Total nonfarm payroll employment increased by 172,000 in May, and the unemployment rate was unchanged at 4.3%, according to the U.S. Bureau of Labor Statistics. Average hourly earnings for all employees on private nonfarm payrolls last month rose by 12¢ to $37.53. Over the year, average hourly earnings increased by 3.4%.

The Dow Jones Industrial Average closed 695 points lower. The S&P 500 closed 200 points lower. The NASDAQ was down 1,121 points.

West Texas Intermediate Crude Oil futures (CME) were $1.00 to $2.50 lower through the front six contracts.

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USDA’s Animal and Plant Health Inspection Service (APHIS) confirmed a second detection of New World screwworm (NWS) on Friday. The confirmed case was found in a one-month-old calf in Zavala County, Texas, approximately 5.6 miles away from the first confirmed detection. APHIS and Texas animal health officials continue to collect and test other samples from the surrounding area which have come back negative.

“USDA has responded expediently with respect to this second detection, demonstrating our utmost preparedness. This second detection is within the established movement control zone and enhanced sterile insect dispersal area.” says Dudley Hoskins, Under Secretary for Marketing and Regulatory Programs. “Many models projected this pest would reach the United States last year, but thanks to USDA’s phenomenal work and our cooperation with state, federal, and industry partners, we’ve held it off until now—when we are far more prepared to respond. USDA has not wasted any time in this fight, we have defeated New World screwworm before, and we will do it again.”

The APHIS strike team in Texas includes veterinary medical officers and animal health technicians – experienced experts who serve as USDA’s boots on the ground response force.

The U.S. Food and Drug Administration has issued emergency use authorizations for several NWS treatments for different species. Currently, there are treatments available to support cattle, horses, swine, goats, captive exotic animals, and wildlife.

The National Veterinary Stockpile has relocated NWS treatment supplies to Texas to better support affected producers in the infested zone. If you or anyone you know needs access to these treatment supplies, they are now available and can be obtained by reaching out directly to the Texas Animal Health Commission (TAHC).

Cattle futures roared higher Thursday, despite confirmation of New World screwworm in the United States. Apparently, the eventuality was priced into the market and removing the uncertainty added buyer confidence.

Feeder Cattle futures were an average of $10.68 higher, limit up in all but three contracts. Live Cattle futures were an average of $3.85 higher .

Negotiated cash fed cattle trade ranged from limited on moderate demand in Nebraska to mostly inactive on moderate demand elsewhere through Thursday afternoon, according to the Agricultural Marketing Service. Although too few transactions to trend, there were some FOB live trades at $255-$257/cwt.

Based on established trade for the week, FOB live prices are mainly $256, which is $1 lower in the Southern Plains and Nebraska and steady to $2 lower in the western Corn Belt. Dressed delivered prices are mainly $405, which is mostly steady.

Based on independent reports early today, prices were gaining.

Choice boxed beef cutout value was $3.20 lower Thursday afternoon at $392.66/cwt. Select was $1.39 lower at $383.04.

Grain and Soybean futures stepped lower Thursday, pressured by positive weather and lower Crude Oil.

Corn futures closed mostly 7¢ to 9¢ lower. Soybean futures closed 18¢ to 27¢ lower. Kansas City HRW Wheat futures were 3¢ to 5¢ lower.

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Major U.S. financial indices closed mixed Thursday, as investors rotated out of tech stocks.

The Dow Jones Industrial Average closed 874 points higher. The S&P 500 closed 30 points higher. The NASDAQ was down 23 points.

West Texas Intermediate Crude Oil futures (CME) were $1.96 to $2.98 lower through the front six contracts.

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As reported recently, the Animal and Plant Health Inspection Service (APHIS) confirmed a case of New World screwworm (NWS) on a cattle operation near La Pryor, Texas, about 50 miles from the Mexico border. Samples were taken from a 3-week-old calf with larvae present in an umbilical lesion and sent to the National Veterinary Services Laboratories in Ames, IA, for confirmatory testing, according to the Kansas Livestock Association (KLA). Currently, there are no other cases.

The infected operation has been quarantined, and a 20 km/12.4 mi. infested zone has been established around the location for movement control and surveillance, according to the KLA. Stop movement orders will not impact cattle movements or operations outside this zone. APHIS has expedited the targeted release of sterile NWS flies by immediately deploying ground-release chambers in the area, in addition to the 4 million sterile flies per week already being released aerially in the region. Trapping efforts also are being increased along the border and just outside the dispersal area.

This is the first detection of New World screwworm in Texas since northward progression from Central America was observed in 2023. The Texas Animal Health Commission is working closely with USDA and other state officials in a joint incident response.

“The Texas Animal Health Commission has been actively preparing for a resurgence of New World screwworm for over two years,” says Dr. Bud Dinges, Texas Animal Health Commission state veterinarian and executive director. “We are putting these preparations into action, and we encourage all animal owners and caretakers to continue to remain vigilant for the presence of larvae in animal wounds and immediately report any suspicions.”

USDA emphasizes the U.S. food supply is safe. USDA’s Food Safety and Inspection Service (FSIS) ensures that the nation’s commercial supply of meat, poultry, and egg products is safe and properly labeled. NWS do not infest meat, fruits, vegetables, or other food sources.

Cattle futures were lower Wednesday, pressured by reports that USDA was testing two calves from Texas for New World screwworm infection, as well as negative outside markets.

Toward the close, Live Cattle futures were an average of $2.05 lower. Feeder Cattle futures were an average of $5.61 lower.

Negotiated cash fed cattle trade was active on good demand in Nebraska through Wednesday afternoon, according to the Agricultural Marketing Service. FOB live prices were mainly $1 lower at mostly $256 and dressed delivered prices were unevenly steady at mostly $405.

Trade was moderate on moderate demand in the Western Cornbelt. Early live FOB live prices were steady to $2 lower at $256 and early dressed delivered prices were steady at $405.

In the Southern Plains, trade was limited on moderate demand. Although too few transactions to trend, there were some FOB live trades at $256. Prices in the region last week was mostly $257.

Choice boxed beef cutout value was $1.79 higher Wednesday afternoon at $392.83/cwt. Select was 38¢ lower at $384.43.

Grain and Soybean futures continued lower Wednesday.

Toward the close, and through near Mar contracts, Corn futures were 7¢ to 9¢ lower.

Soybean futures were 10¢ to 12¢ lower. Kansas City HRW Wheat futures were 9¢ to 10¢ lower.

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Major U.S. financial indices closed lower Wednesday, pressured by increasing Treasury Yield rates and Crude Oil prices related to worries about higher inflation stemming from the lack of resolution to the U.S-Iran war.

The Dow Jones Industrial Average closed 620 points lower. The S&P 500 closed 56 points lower. The NASDAQ was down 239 points.

Through mid-afternoon, West Texas Intermediate Crude Oil futures (CME) were $1.24 to $2.47 higher through the front six contracts.

Cattle futures were higher Monday, helped along by stronger outside markets.

Toward the close, Live Cattle futures were an average of $1.42 higher. Feeder Cattle futures were an average of $3.22 higher.

Negotiated cash fed cattle trade was inactive on light demand in all regions through Monday afternoon, according to the Agricultural Marketing Service.

Last week, FOB live prices were mostly $3 lower in the Southern Plains at mainly $257/cwt., $1-$8 lower in Nebraska at mostly $257 and $2-$4 lower in the western Corn Belt at $256-$258. Dressed delivered prices were $405, which was $3-$5 lower in Nebraska and $5 lower in the western Corn Belt.

Choice boxed beef cutout value was $1.36 higher Monday afternoon at $392.83/cwt. Select was 9¢ lower at $383.09.

Grain and Soybean futures limped lower Monday.

Toward the close, and through near Mar contracts, Corn futures were 2¢ to 3¢ lower. Soybean futures were 1¢ to 6¢ lower. Kansas City HRW Wheat futures were 2¢ to 3¢ lower.

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Major U.S. financial indices closed higher Monday, led by tech stocks and despite higher Crude Oil prices tied to increased turmoil in peace talks between the U.S. and Iran.

The Dow Jones Industrial Average closed 46 points higher. The S&P 500 closed 19 points higher. The NASDAQ was up 114 points

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As folks ponder the shape and timing of beef cow herd expansion, Derrell Peel, Extension livestock marketing specialist at Oklahoma State University says the combination of heifer and cow slaughter is the key indicator.

“The female slaughter percentage peaked most recently in 2023 at 51.8% (the highest level since 1985) and has decreased to the current level of 48.8%,” Peel says in his weekly market comments. “Female cattle slaughter is still above the average level. Most of the decrease observed thus far in the female slaughter percentage is due to decreased beef cow slaughter. Further decreases will depend on increased heifer retention (i.e. reduced heifer slaughter).”

More specifically, Peel says 47% female slaughter is commonly regarded as the threshold for herd expansion. He believes it could take another 6-10 months for female slaughter to decline to that level.

“The initial stages of this process mean that cattle slaughter and beef production will continue to decline and that the highest cattle prices of this cycle are still ahead,” Peel says.

Cattle futures closed lower Friday, pressured by lower negotiated cash fed cattle prices, seasonally reluctant wholesale beef values, another New World screwworm case in Mexico creeping closer to the U.S. border, as well as week-end and month-end positioning.

Live Cattle futures closed an average of $2.17 lower. Feeder Cattle futures closed an average of $4.82 lower.

Week to week on Friday, Live Cattle futures closed an average of 67¢ lower. Feeder Cattle futures closed an average of $1.63 lower during the same period, extending the previous week’s steep decline.

Negotiated cash fed cattle prices lost ground on Friday, although the market had yet to be established in all regions through the afternoon, according to the Agricultural Marketing Service.

Trade was light on moderate demand in Nebraska, where FOB live prices were $3-$10 lower at $255/cwt. and $3-$5 lower in the beef (delivered) at $405.

Trade was limited on moderate demand in the Texas Panhandle and the western Corn Belt. Although too few transactions to trend, there were some early FOB live trades in the Texas Panhandle at $256 and in the western Corn Belt at $255-$258 with dressed delivered prices at $405.

Trade was inactive on moderate demand in Kansas.

The previous week, FOB live prices were $260 in the Texas Panhandle, $259-$260 in Kansas and mostly $260 in the western Corn Belt, where dressed delivered prices were mostly $410.

Choice boxed beef cutout value was 85¢ lower Friday afternoon at $391.47/cwt. Select was $2.40 lower at $383.18. Week to week on Friday, Choice boxed was $1.20 higher, but Select was $1.82 lower.

Corn and Soybean futures closed lower Friday, as traders took back war premium and positioned for the end of the week and the end of the month.

Corn futures closed mostly 6¢ to 9¢ lower through Jly ‘27. Week to week on Friday, they were an average of 12’1¢ lower through the front six contracts.

Soybean futures closed 3¢ to 7¢ lower through May ‘27.

Kansas City HRW Wheat futures closed 12¢ to 15¢ lower.

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Major U.S. financial indices closed higher Friday, led by tech stocks and supported by lower Crude Oil prices tied to what was deemed progress in peace talks between the U.S. and Iran.

The Dow Jones Industrial Average closed 363 points higher. The S&P 500 closed 16 points higher. The NASDAQ was up 55 points.

West Texas Intermediate Crude Oil futures (CME) were $1.30 to $1.54 lower through the front six contracts.

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During last week’s U.S. Meat Export Federation (USMEF), members gained insights from a distinguished panel of livestock industry experts, including Derrell Peel, Extension livestock marketing specialist at Oklahoma State University; Nevil Speer of Turkey Track Consulting; and Don Close, senior animal protein analyst with Terrain.

The panel addressed factors impacting protein demand in both the international and domestic markets, noting the important role exports play in bolstering the profitability of livestock producers and incentivizing industry expansion. But expansion of the beef cattle herd has been elusive, due to factors such as volatile grazing conditions and hay availability, and persistently higher operating costs.

“You cannot stabilize the cow inventory by not killing cows,” Close explained. “If we’re not putting replacement heifers on top of that, we’re going to continue to decline. By not killing the cows and not replacing with females, the average age of our cow herd is getting substantially older. When we do finally start to expand, we’re going to have to retain enough females, not only to rebuild what we’ve lost, but we’re going to have to retain additional replacement females because of the accelerated attrition of the cows that are still out there.”

The tight cattle supply has fueled misperceptions about the impact of trade, with some media outlets suggesting that exports reduce availability for U.S. consumers. Peel illustrated the benefits of trade by drawing a comparison with households that periodically fill their home freezer with a full range of beef cuts.

“I always remind producers, because they almost all have freezer beef, what’s it like when you get down to the stuff that’s in the bottom of the freezer,” he said. “When you start talking to the other half of the household about how you need to get another beef in the freezer, you get reminded: ‘no, you’ve got to eat that stuff before we get another one.’ By exporting the cuts we don’t like to eat as much, trade allows us to clean out the bottom of the freezer, so that we can focus U.S. demand on the cuts we really want.”

Speer highlighted the benefits producers have realized from raising higher grading cattle that meet consumers’ demand for high-quality beef. He contrasted the current situation with the 1980s and 90s, when the beef industry was losing the battle for consumer dollars spent on protein.

“Now we’re in a whole new realm,” Speer said. “This is what’s bringing consumers back – the quality and the consistency. And this did not just happen, right? We’ve gotten better at genetics, we’ve gotten better at management, and we’re starting to listen to consumers, and it makes all the difference in the world.”