Daily Market Highlights

Cattle futures bounced back Tuesday, supported by resurgent wholesale beef values.

Toward the close and ahead of settlement, Live Cattle futures were an average of $1.06 higher. Feeder Cattle futures were an average of $1.60 higher.

Negotiated cash fed cattle trade was at a standstill in all major cattle feeding regions through Tuesday afternoon, according to the Agricultural Marketing Service.

Last week, FOB live prices were $184/cwt. in the Southern Plains $186-$187 in Nebraska and $185-$187 in the western Corn Belt. Dressed delivered prices were $294-$295.

Wholesale beef prices continued to firm, offering hopes that the seasonal rally has begun.

Choice boxed beef cutout value was 27¢ lower Tuesday afternoon at $298.49/cwt. Select was $2.59 higher at $292.34/cwt.

Grain futures softened Tuesday amid likely producer selling. Heading into the close, Corn futures were narrowly mixed from fractionally lower to 3¢ lower in the front three contracts and then fractionally higher to 1¢ higher through Dec ‘25. Kansas City Wheat futures were 7¢ to 15¢ lower through May ‘25. However, Soybean were mostly 3¢ to 7¢ higher through Jly ‘25.

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Major U.S. financial indices closed narrowly mixed Tuesday.

The Dow Jones Industrial Average closed 31 points higher. The S&P 500 closed 6 points higher, but the NASDAQ was down 16 points.

Heading into the close West Texas Intermediate Crude Oil futures on the CME were 10¢ to 13¢ lower   through the front six contracts.

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Increased slaughter levels and heavier dressed weights are boosting domestic beef production, but so is trade, says David Anderson, livestock economist with Texas A&M AgriLife Extension Service.

“Beef imports in the first quarter of the year totaled 1.2 billion pounds, 25% more than last year.  Exports were 6% less, or 46 million pounds, lower than last year,” Anderson explains, in the most recent issue of In the Cattle Markets.  “Combining the increase in imports and decrease in exports means that about an additional 285 million pounds of beef were added to total beef supplies in the first quarter. That’s about 0.86 pounds of beef, per capita.”

Increased beef production has likely contributed to wholesale beef price struggles, according to Anderson.

“Only the Choice chuck and round are above a year ago. The rib and loin are below a year ago, and their weakness might suggest other problems beyond just larger supplies, especially getting close to Memorial Day,” Anderson explains. “On the positive side, this increase in beef production will be temporary. Reduced placements will begin to move the number of cattle on feed lower. If weights continue to be larger than a year ago the total number of cattle processed will decline further.”

Heading into the close and before settlement, Live Cattle futures were an average of 27¢ higher through the front five contracts, buoyed by last week’s stronger cash trade and then unchanged to an average of 61¢ lower.

Feeder Cattle futures were an average of $1.28 lower with pressure from nearby Corn contracts.

Heading into the close Monday Grain and Soybean futures continued higher as traders appeared to bet on planting progress delays in the weekly Crop Progress report (see below).

Corn futures were mostly 7¢ to 10¢ higher through near Sep.

Kansas City Wheat futures were mostly 18¢ to 20¢ higher through Jly ’25.

Soybean were 21¢ to 32¢ higher through near Sep.

Negotiated cash fed cattle trade ranged from inactive on very light demand to a standstill through Monday afternoon, according to the Agricultural Marketing Service.

For the week, FOB live prices were $2 higher in the Southern Plains at $184/cwt., $2 higher in Nebraska at $186-$187 and $1 higher in the western Corn Belt at $185-$187. Dressed delivered prices were steady to $1 higher in Nebraska at $294-$295 and mostly $1 higher in the western Corn Belt at mainly $295.

The weekly weighted average five-area direct FOB live steer price was $1.59 higher at $185.74. The average dressed delivered steer price was 26¢ higher at $294.65.

Choice boxed beef cutout value was $4.56 higher Monday afternoon at $298.76/cwt. Select was $2.10 higher at $289.75/cwt.

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Major U.S. financial indices extended gains Monday, with follow-trough support from Fridays jobs report, which was weaker than expected, elevating hopes the Fed can cut interest rates sooner than later.

The Dow Jones Industrial Average closed 176 points higher. The S&P 500 closed 52 points higher. The NASDAQ was up 192 points.

West Texas Intermediate Crude Oil futures on the CME were 54¢ to 58¢ higher  through the front six contracts.

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Pasture and range is starting the season off in significantly improved condition than last year, according to the latest USDA Crop Progress report for the week ending May 5.

Nationwide, 46% of pasture and range was rated as Good (38%) and Excellent (8%), compared to 33% a year earlier. 25% was rated Poor (15%) and Very Poor (10%) compared to 37% the same week last year.

However, corn planting lost some ground last week with 36% in the ground compared to 42% at the same time last year and 39% for the five-year average. 12% was emerged versus 10% a year earlier and 9% for average.

As for soybeans, 25% were planted, which was 5% less than the same week last year but 4% more than average. 9% of soybeans were emerged, compared to 7% a year earlier and 4% for average.

Winter wheat condition held about steady week to week and was significantly improved year over year. 50% was rated as Good (44%) or Excellent (6%), compared to 29% a year earlier. 16% were rated as Poor (11%) or Very Poor (5%) compared to 44% a year earlier. 43% of the crop was headed, compared to 34% the previous year and 32% for average.

Cattle futures mostly edged higher Friday, extending gains from the previous session and supported by higher cash fed cattle prices.

Live Cattle futures closed an average of 43¢ higher., except for 12¢ lower in the spot month. They were an average of $2.39 lower week to week on Friday.

Feeder Cattle futures closed narrowly mixed, from an average of 32¢ lower in the front three contracts to an average of 13¢ higher. They were an average of $5.38 lower week to week on Friday.

Negotiated cash fed cattle trade in the Southern Plains ranged from slow on light demand in the Texas Panhandle to moderate on moderate demand in Kansas through Friday afternoon, according to the Agricultural Marketing Service. Elsewhere, trade was slow on light demand.

For the week, FOB live prices were $2 higher in the Southern Plains at $184/cwt., $2 higher in Nebraska at $186-$187 and $1-$3 higher in the western Corn Belt at $187. Dressed delivered prices were steady to $1 higher in Nebraska at $295 and $1 higher in the western Corn Belt at $295.

Choice boxed beef cutout value was $1.30 higher Friday afternoon at $294.20/cwt. Select was 33¢ lower at $287.65/cwt. However, week to week on Friday, Choice was $2.94 lower and Select was $1.07 lower.

Total estimated cattle slaughter of 619,000 head last week was 6,000 more than the previous week but 2,000 head less than the same week last year. Year-to-date estimated total cattle slaughter of 10.8 million head was 509,700 head fewer (-4.5%). Year-to-date estimated beef production of 9.0 billion pounds was 214.1 million pounds less (-2.3%).

Turning to row crops, Grain and Soybean futures continued higher Friday as traders added weather premiums.

KC HRW Wheat futures closed 11¢ to 13¢ higher through May ’25. and then mostly 6¢ to 7¢ higher.

Corn futures closed mostly 3¢ higher.

Soybean futures closed 9¢ to 14¢ higher through Aug ’25 and then mostly 7¢ higher.

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Major U.S. financial indices surged higher Friday, buoyed by a weaker jobs report than expected, which boosted hopes about reining back inflation.

Total non-farm payroll employment increased by 175,000 in April, and the unemployment rate was little changed at 3.9%, according to the Employment Situation Summary from the U.S. Bureau of Labor Statistics.

Average hourly earnings in April for all employees on private non-farm payrolls increased by 7¢ (+0.2%) to $34.75. Over the past 12 months, average hourly earnings increased by 3.9%.

The Dow Jones Industrial Average closed 450 points higher. The S&P 500 closed 63 points higher. The NASDAQ was up 315 points.

West Texas Intermediate Crude Oil futures on the CME closed 35¢ to 84¢ lower through the front six contracts.

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Although 10% less year over year, March U.S. beef exports were the most of 2024, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF). March exports totaled 102,218 metric tons (mt). Export value was $889.9 million, down 0.3% from a year ago but the highest in nine months.

March beef export value equated to $454.62 per head of fed slaughter, the highest since mid-2022.

Beef exports for the first quarter (Jan. through Mar.) totaled 311,865 mt, down 4% from the first quarter of last year. Export value increased 6% to $2.48 billion.

“Beef demand in the Caribbean was outstanding in March, and we continued to see a strong rebound in the Middle East as well as some positive signs in Korea and Japan, where the foodservice recovery is making progress,” says Dan Halstrom USMEF president and CEO. “It’s a challenging situation in terms of supply availability, but the value U.S. beef commands internationally is very encouraging – as evidenced by March export value climbing to more than $450 per head.”

U.S. pork exports of 260,430 mt in March were 0.1% more than a year earlier. Pork export value was 2% higher year over year at $740.8 million.

Cattle futures rallied back Thursday, fueled by confirmation that no traces of Bovine Influenza A virus (BIAV) were found in ground beef samples by USDA’s Animal and Plant Health Inspection Service (APHIS).

“Samples were collected at retail outlets in the states in which dairy cattle herds have tested positive for H5N1 influenza virus. The samples were analyzed by APHIS using polymerase chain reaction (PCR), to indicate whether any viral particles were present. No virus particles were found to be present,” according to the APHIS statement.

Live Cattle futures closed an average of $2.37 higher.

Feeder Cattle futures closed an average of $3.26 higher.

Negotiated cash fed cattle trade ranged from slow on light demand in the North to a standstill in the Southern Plains through Thursday afternoon, according to the Agricultural Marketing Service.

For the week, FOB live prices are $2-$3 higher in Nebraska at $187/cwt. and $1-$3 higher in the western Corn Belt at $187. Dressed delivered prices are steady to $1 higher at $294-$295.

FOB live prices in the Southern Plains last week were $182.

Choice boxed beef cutout value was 64¢ lower Thursday afternoon at $292.90/cwt. Select was 9¢ lower at $287.98/cwt.

Net U.S. beef export sales the week ending Apr. 25 of 22,500 metric tons for 2024 were a marketing-year high — up 48% from the previous week and up 38% from the prior four-week average. Increases were primarily for South Korea, Japan, Taiwan, China and Mexico.

Turning to row crops, Grain and Soybean futures surged higher Thursday with weather premiums tied to planting delays.

KC HRW Wheat futures closed mostly 11¢ to 12¢ higher.

Corn futures closed mostly 4¢ to 9¢ higher.

Soybean futures closed 22¢ to 34¢ higher through Jan ’25 and then 14¢ to 19¢ higher. Weekly U.S. export sales provided added support. Net sales of 414,000 metric tons for 2023-24 were up 96% from the previous week and were 45% more than the prior four-week average.

Cattle futures tried to overcome the Bovine Influenza A virus headlines but couldn’t, taking another step lower Wednesday.

Heading into the close, Live Cattle futures were an average of $1.64 lower (67¢ to $2.30 lower). 

Feeder Cattle futures were an average of $3.55 lower.

Negotiated cash fed cattle trade ranged from slow on light demand to a standstill through Wednesday afternoon, according to the Agricultural Marketing Service.

Last week, FOB live prices were $182/cwt. in the Southern Plains, $184-$185 in Nebraska and $184-$186 in the western Corn Belt. Dressed delivered prices were $294-$295.

Choice boxed beef cutout value was 83¢ lower Wednesday afternoon at $293.54/cwt. Select was $1.88 lower at $288.07/cwt.

Heading into the close, Corn futures were 1¢ to 3¢ higher through Jly ‘25. Soybean were mostly 5¢ higher through Jly ‘25.  Kansas City Wheat futures were mostly 6¢ to 10¢ lower through Jly ‘25.

Cattle futures softened Monday, taking a break from last week’s gains and amid likely profit taking and month-end positioning.

Heading into the close, Live Cattle futures were an average of 67¢ lower (32¢ to $1.35 lower), except for 77¢ higher in spot Apr. Feeder Cattle futures were an average of 42¢ lower.

Negotiated cash fed cattle trade ranged from slow on light demand to a standstill through Monday afternoon, according to the Agricultural Marketing Service.

For the week, FOB live prices were steady in the Southern Plains at $182/cwt., mostly $1-$2 higher in Nebraska at $184-$185 and steady to $2 higher in the western Corn Belt at $184-$186. Dressed delivered prices were $2 higher at $294-$295 in Nebraska and $294 in the western Corn Belt.

The weighted average five-area direct FOB live steer price last week was $1.48 higher at $182.67. The weighted average dressed delivered steer price was $2.04 higher at $294.39.

Choice boxed beef cutout value was 39¢ higher Monday afternoon at $297.53/cwt. Select was $1.49 higher at $290.21/cwt.

Heading into the close, Corn futures were fractionally lower through Mar ‘25. Soybean were 1¢ to 4¢ higher through Nov. ‘24. 

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Major U.S. financial indices closed higher Monday, supported by tech stocks and corporate earnings once again.

The Dow Jones Industrial Average closed 146 points higher. The S&P 500 closed 16 point higher. The NASDAQ was up 55 points.

Heading into the close West Texas Intermediate Crude Oil futures on the CME were 28¢ to 48¢ higher through the front six contracts.

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Assuming no further complications from Bovine Influenza A virus (BIAV) in dairy cattle, Derrell Peel, Extension livestock Marketing specialist at Oklahoma State University says cattle markets should move forward based on fundamentals.

“Calf prices normally reach a seasonal peak at the end of the first quarter, so steer calf prices may not recover fully to the March highs,” Peel explains in his weekly market comments. “However, the strong general uptrend in cattle markets likely means calf prices may move more sideways for a period before moving higher in the later part of the year. Concern about summer grazing conditions could temper stocker demand in the next month or so.”

Peel notes heavyweight feeder cattle prices have bounced more than calf prices since BIAV applied pressure, buoyed by recovery in Feeder futures and seasonal tendencies for higher prices from now through the middle of the year.

“Despite the unexpected shocks that have impacted feeder markets, feeder prices are proving to be very resilient,” Peel says. “Feedlot demand is strong as feedlots chase limited feeder cattle supplies, spurred on by declining feedlot cost of gain.  For all feeder cattle, both calves and big feeders, the highest prices of the year are expected in the fourth quarter.”

Cattle futures closed higher Friday, helped along by stronger cash fed cattle prices to end the week, as well as weekly gains in Choice wholesale beef values.

Live Cattle futures closed an average of 56¢ higher. They were an average of $3.82 higher week to week on Friday.

Feeder Cattle futures closed an average of $2.07 higher. They were an average of $6.60 higher week to week.

Negotiated cash fed cattle trade ranged from slow on light demand to a standstill through Friday afternoon, according to the Agricultural Marketing Service.

For the week, FOB live prices were steady in the Southern Plains at $182/cwt., mostly $1-$2 higher in Nebraska at $184-$185 and steady to $2 higher in the western Corn Belt at $184-$186. Dressed delivered prices were $2 higher at $294-$295 in Nebraska and $294 in the western Corn Belt.

Choice boxed beef cutout value was 22¢ higher Friday afternoon at $297.14/cwt. Select was 94¢ lower at $288.72/cwt.

Estimated total cattle slaughter last week of 613,000 head was 7,000 head fewer than the previous week and 14,000 head fewer than the same week last year. Year-to-date estimated total cattle slaughter of 10.2 million head was 505,000 head fewer (-4.7%) than the same time last year. Year-to-date beef production of 8.5 billion pounds was 229.6 million pounds less (-2.6%).

Turning to row crops, KC HRW Wheat futures closed 11¢ to 14¢ higher. Corn futures closed mostly 1¢ to 3¢ lower. Soybean futures closed mixed, fractionally lower to 3¢ lower through Jan ’25 and then fractionally higher to 3¢ higher.

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Major U.S. financial indices closed higher Friday, supported by tech stocks and positive corporate earnings reports.

The Dow Jones Industrial Average closed 153 points higher. The S&P 500 closed 51 point higher. The NASDAQ was up 316 points.

West Texas Intermediate Crude Oil futures on the CME closed 28¢ to 48¢ higher through the front six contracts.

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USDA’s Animal and Plant Health Inspection Service (APHIS) issued its final rule for Animal Disease Traceability (ADT) Friday. For interstate movement, the rule requires official ear tags for certain classes of cattle and bison be readable both visually and electronically. The final rule applies to all sexually intact cattle and bison 18 months of age or older, all dairy cattle, cattle and bison of any age used for rodeo or recreation events, and cattle or bison of any age used for shows or exhibitions.

“USDA’s final traceability rule updates the existing requirement for animal identification that has been in place since 2013, switching from solely visual tags to tags that are both electronically and visually readable for certain classes of cattle moving interstate,” explains Mark Eisele, a Wyoming rancher and president of the National Cattlemen’s Beef Association (NCBA). “Many producers are already familiar with using these visual tags and under the new rule, they will instead use electronic tags. NCBA has worked hard to secure $15 million in funding for producers to reduce the cost of implementing this change. We also remain committed to safeguarding producers’ private data and continuing to reduce the cost of ear tags for farmers and ranchers. Our industry faces a tremendous threat from the risk of a future foreign animal disease on American soil. To avoid devastating financial losses during a potential outbreak and to help producers quickly return to commerce, we need an efficient animal disease traceability system.”

APHIS is currently providing electronic ID tags at no cost to producers. Producers should contact their State Veterinarian to obtain the free tags. The rule will not take effect for six months to provide time for producers to prepare.

“Rapid traceability in a disease outbreak will not only limit how long farms are quarantined, keep more animals from getting sick, and help ranchers and farmers get back to selling their products more quickly – but will help keep our markets open,” says Michael Watson, APHIS Administrator. 

One of the most significant benefits of the rule for farmers and ranchers will be the enhanced ability of the United States to limit impacts of animal disease outbreaks to certain regions, which is the key to maintaining our foreign markets, according to APHIS. By being able to readily prove disease-free status in non-affected regions of the nation, the U.S. will be able to request foreign trading partners recognize disease-free regions or zones instead of cutting off trade for the entire country. Traceability of animals is necessary to establish these disease-free zones and facilitate reestablishment of foreign and domestic market access with minimum delay in the wake of an animal disease event.

The final rule affects 11% of the U.S. cattle herd, according to NCBA.

More information is available at the APHIS ADT page.

Heading into Wednesday’s close, Cattle futures were sharply lower, pressured by news that viral fragments of Highly Pathogenic Avian Influenza (HPAI) were found in pasteurized milk during the ongoing investigation into Bovine Influenza A virus found in dairy cattle. Although there is no reason to doubt the safety of pasteurized milk, the headlines made traders skittish.

Feeder Cattle futures were an average of $2.32 lower.

Negotiated cash fed cattle trade and demand were moderate in the Southern Plains through Wednesday afternoon, according to the Agricultural Marketing Service. FOB live prices were steady at $182/cwt.

Elsewhere, trade ranged from mostly inactive on light demand to a standstill.

Last week, FOB live prices were mainly $183 in Nebraska and $184 in the western Corn Belt. Dressed delivered prices were $292-$293.

Choice boxed beef cutout value was $1.66 lower Wednesday afternoon at $295.74/cwt. Select was $2.34 lower at $290.42/cwt.

Heading into the close, wheat was higher again based on weather concerns.

Kansas City Wheat futures were 14¢ to 17¢ higher through Jly ‘25.

Corn futures were mostly 1¢ to 5¢ lower through Mar ‘25.

Soybean futures were mostly fractionally mixed through Jly ‘25.

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Major U.S. financial indices ended Wednesday little changed.

The Dow Jones Industrial Average closed 42 points lower. The S&P 500 closed 1 point higher. The NASDAQ was up 16 points.

Heading into the close West Texas Intermediate Crude Oil futures on the CME were 17¢ to 50¢ lower through the front six contracts.

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Total pounds of beef in freezers Feb. 29 were 6% less than the previous month and 12% less than a year earlier, according to the latest USDA Cold Storage report.

Frozen pork supplies were down 1% from the previous month and down 12% from last year.

Total red meat supplies in freezers were 4% less month to month and 13% less year over year.

Total frozen poultry supplies were down 1% from the previous month and down 5% from a year ago.

Cattle futures were mixed with Live Cattle taking a breather and awaiting weekly cash direction while last Friday’s Cattle on Feed report continued helping lift Feeder Cattle.

Feeder Cattle futures were an average of 69¢ higher. Live Cattle futures mixed, from an average of 63¢ lower in the front five contracts to an average of an average of 84¢ higher.

Negotiated cash fed cattle trade was at a standstill in all major cattle feeding regions through Tuesday afternoon, according to the Agricultural Marketing Service.

Last week, FOB live prices were $182/cwt., in the Southern Plains, mostly $183 in Nebraska and $184 in the western Corn Belt. Dressed delivered prices were $292-$293.

Choice boxed beef cutout value was $1.47 higher Tuesday afternoon at $297.40/cwt. Select was 89¢ higher at $292.76/cwt.

Heading into the close Tuesday, Wheat futures were the grain the complex higher again, based on weather concerns and apparent short covering.

Kansas City Wheat futures were 11¢ to 13¢ higher through Jly ‘25.

Corn futures were mostly 1¢ to 3¢ higher through Jly ‘25.

Soybean futures were 1¢ to 5¢ higher through Nov ‘24.

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Major U.S. financial indices closed higher again Tuesday, fueled by strong quarterly corporate earnings.

The Dow Jones Industrial Average closed 263 points higher. The S&P 500 closed 59 points higher. The NASDAQ was up 245 points.

Heading into the close West Texas Intermediate Crude Oil futures on the CME were $1.01 to $1.44 higher through the front six contracts.

Cattle futures surged higher Monday, supported by Friday’s friendly Cattle on Feed report, which indicated fewer March placements than expected.

At the close and before final settlement, Live Cattle futures were an average of $2.56 higher and Feeder Cattle futures were an average of $3.71 higher.

Negotiated cash fed cattle trade was at a standstill in all major cattle feeding regions through Monday afternoon, according to the Agricultural Marketing Service.

Last week, FOB live prices were steady in the Southern Plains at $182/cwt., mostly $1 lower in Nebraska at mainly $183 and $1 lower in the western Corn Belt at $184. Dressed delivered prices were steady to $1 lower in Nebraska at $292-$293 and $1 lower in the western Corn Belt at $292 in a light test.

The weighted average five-area direct FOB live steer price last week was $1.17 lower at $182.67/cwt. The weighted average dressed delivered steer price was 74¢ lower at $292.35.

Choice boxed beef cutout value was 26¢ higher Monday afternoon at $295.93/cwt. Select was $1.04 higher at $291.87/cwt.

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Major U.S. financial indices closed higher Monday, supported by tech stocks and easing tension in the Middle East.

The Dow Jones Industrial Average closed 253 points higher. The S&P 500 closed 43 points higher. The NASDAQ was up 169 points.

Heading into the close West Texas Intermediate Crude Oil futures on the CME were 12¢ to 32¢ lower through the front six contracts.

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The latest Cattle on Feed report might be pointing toward moderating beef heifer liquidation.

“Heifers made up 38.5% of total feedlot inventories (April 1), down from 39.7% in January,” says Derrell Peel, Extension livestock marketing specialist at Oklahoma State University. “While the heifer percentage in feedlots remains above the average of the past 10 years, the decline from January to April is an encouraging sign that heifer feeding is perhaps slowing. During rapid herd expansion in 2015-2017, the heifer percentage of feedlot inventories dropped below 34% and averaged below 33% for 10 consecutive quarters. Heifer feeding is expected to decrease significantly more in the coming months.”

Reflecting on Friday’s report in his weekly market comments, Peel also explains stubbornly high feedlot inventories stem more from the slower pace of marketings than placements.

In fact, Peel says monthly average feedlot placements (12-month moving average) in March were the least since April 2017. Total placements during the last six months are 2.3% less than the same period last year.

At the same time, the pace of marketing has declined faster than placements as dwindling numbers of cattle are being fed for longer periods.

“Feedlots have an incentive to keep inventories as close to capacity as possible. One way is to slow down the turnover rate, effectively making fewer cattle turn into larger inventories,” Peel explains. “The result is more days on feed and heavier carcass weights. Steer carcass weights have averaged 25 pounds heavier year over year for the past four weeks, with heifer carcasses over 21 pounds heavier. There are limits to how much feedlots can slow marketings, but feedlots are expected to push carcass weights as far as possible in the coming months. Feedlot inventories are expected to decline in the next few months despite feedlot actions to delay the inevitable.”