Daily Market Highlights

Cattle futures weakened Wednesday with likely spillover pessimism from lower outside markets, the lack of cash direction and perhaps some defensiveness in the face of Friday’s Cattle on Feed report.

Feeder Cattle futures closed an average of 74¢ lower, except for 57¢ higher in the back contract.

Live Cattle futures closed an average of 25¢ lower, except for 17¢ higher in the back contract.

Negotiated cash fed cattle trade ranged from limited on light demand to a standstill through Wednesday afternoon, according to the Agricultural Marketing Service. There were a few trades at $145/cwt. in Nebraska and the western Corn Belt but too few to trend.

Live prices last week were $142/cwt. in the Southern Plains, $143 in Nebraska and $143-$145 in the western Corn Belt. Dressed prices were $226-$227 in Nebraska and $226 in the western Corn Belt.

Choice Boxed beef cutout value was $2.51 lower Wednesday afternoon at $249.13/cwt. Select was $1.09 lower at $226.14/cwt.

Corn futures closed 3¢ to 6¢ lower Wednesday with pressure from lower outside markets and the export-adverse rise in the U.S. dollar.

Soybean futures closed 13¢ to 17¢ lower through Aug ‘23 and then mostly 8¢ to 9¢ lower.

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Major U.S. financial indices closed sharply lower Wednesday after a volatile trading session as investors first awaited the Fed’s latest interest rate decision and then parsed through the announcement.

As widely expected, the Federal Operating Markets Committee (FOMC) increased interest rates by 75 basis points and anticipated further tightening to rein back inflation.

“Recent indicators point to modest growth in spending and production. Job gains have been robust in recent months, and the unemployment rate has remained low. Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher food and energy prices, and broader price pressures,” according to the FOMC statement. “Russia’s war against Ukraine is causing tremendous human and economic hardship. The war and related events are creating additional upward pressure on inflation and are weighing on global economic activity. The Committee is highly attentive to inflation risks.”

The Dow Jones Industrial Average closed 522 points lower. The S&P 500 closed 66 points lower. The NASDAQ was down 204 points.

CME WTI Crude Oil futures closed 63¢ to $1.00 lower through the front six contracts.

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Nearly three in four beef-eating Americans can’t imagine giving up the taste of beef, according to new research from Midan Marketing, a full-service agency dedicated to meat industry clients.

“Recent data from Mintel shows that 81% of American consumers eat beef,” says Bridget Wasser, associate director of customer insights at Midan. “We know that consumers are seeking out several attributes when shopping for beef, so we set out to determine which claims are most impactful.”

According to Midan’s newest proprietary research, 68% of consumers purchase beef with production claims at least some of the time.

The survey, which was fielded in April 2022, presented a nationally representative sample of U.S. beef consumers with 28 different product attributes. Claims tested ranged from quality claims including USDA Prime or Choice grade, production claims like grass-fed or carbon neutral, and sourcing claims such as locally raised or product of the U.S.

Claims that carry the most weight with consumers vary generationally. For instance, most shoppers search first for beef carrying a USDA Choice grade. When it comes to the second attribute they look for: Baby Boomers — Raised in the USA; Gen X — USDA Prime; Millennials — Raised with no added hormones or growth promotants.

As for Gen Z — they ranked No added hormones or growth promotants as their leading attribute, followed by High in protein. USDA Choice ranked fourth on the list for them.

Feeder Cattle futures gave back the previous session’s gains and then some Tuesday, pressured by higher Corn futures.

Feeder Cattle futures closed an average of $1.80 lower Tuesday (35¢ lower at the back to $2.27 lower toward the front), giving back the previous session’s gains and then some. Much of the pressure came from Corn futures bouncing 12¢ to 13¢ higher through Jly ‘23 and then mostly 8¢ to 9¢ higher, supported by bleaker condition ratings than expected. Soybean futures closed 15¢ to 17¢ higher through Jly ‘23. and then mostly 7¢ to 9¢ higher.

Live Cattle futures closed an average of 12¢ lower, except for 27¢ higher in three contracts with firmness from growing optimism for higher cash fed cattle prices this week.

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

Live prices last week were $142/cwt. in the Southern Plains, $143 in Nebraska and $143-$145 in the western Corn Belt. Dressed prices were $226-$227 in Nebraska and $226 in the western Corn Belt.

Choice Boxed beef cutout value was 81¢ lower Tuesday afternoon at $251.64/cwt. Select was $1.34 higher at $227.23/cwt.

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Major U.S. financial indices closed lower Tuesday with traders fretting over the Fed’s interest rate decision Wednesday.

The Dow Jones Industrial Average closed 313 points lower. The S&P 500 closed 43 points lower. The NASDAQ was down 109 points.

CME WTI Crude Oil futures closed $1.28 to $1.42 lower through the front six contracts.

Cattle futures rose Monday, helped along by last week’s slightly stronger cash fed cattle prices.

Feeder Cattle futures closed an average of 87¢ higher.

Live Cattle futures closed an average of 37¢ higher., except for 7¢ lower in near Dec.

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

Last week, live prices were $1 higher in the Southern Plains at $142, steady to $1 higher in Nebraska at $143 and steady to $1 lower in the western Corn Belt at $143-$145. Dressed prices were steady to $1 higher in Nebraska at $226-$227 and unevenly steady in the western Corn Belt at $226.

Choice Boxed beef cutout value was 5¢ higher through Monday afternoon at $252.45/cwt. Select was 76¢ lower at $225.89/cwt.

Corn futures closed mostly 1¢ to 2¢ higher.

Soybean futures closed mostly 13¢ to 19¢ higher.

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Major U.S. financial indices closed higher at the end of a volatile session Monday. Investors are awaiting the Fed’s next interest rate decision this week.

The Dow Jones Industrial Average closed 197 points higher. The S&P 500 closed 26 points higher. The NASDAQ was up 86 points.

CME WTI Crude Oil futures closed 44¢ to 62¢ higher through the front six contracts.

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Budgets currently look favorable for winter stocker grazing if forage is available, says Derrell Peel, Extension livestock marketing specialist at Oklahoma State University, in his weekly market comments.

For instance, Peel calculates the value of gain for adding 300 lbs. to a 475-lb. steer at $1.29/lb., using current Oklahoma feeder prices. He notes that price also reflects current feedlot cost of gain for steers in the Southern Plains of $1.25-$1.30/lb.

“Stocker budgets are driven by the overall level of cattle prices and the relationship between purchase prices for lightweight stockers and the expected price of heavy feeder cattle later,” Peel explains. “The difference in the purchase price and selling price of stocker cattle is the rollback that determines the gross value of gain for adding weight to feeder cattle. The stocker price rollback is the mirror image of the cost of gain for feedlots because feeder markets reflect whether it is cheaper to put weight on feeder cattle in forage-based stocker programs before they arrive at the feedlot or with grain-based rations after placement in the feedlot.” He adds the $7 increase between nearby and Mar Feeder Cattle contracts adds more value.

Unfortunately, at least for producers depending on wheat pasture in the Southern Plains, grazing prospects appear limited due to persistent dryness and drought.

“I traveled across much of western Oklahoma last week and did see several planted fields and even a couple with wheat emerged. In many cases the wheat is being “dusted in”, planted in dry soil, hoping that rain will be forthcoming to germinate the wheat,” Peel says. “Whether wheat is planted with enough moisture to germinate or is waiting for rain to emerge, the dry soil profile means that additional timely rains will be needed to sustain a wheat stand. The forecast for the next week or more is for unseasonably (maybe record!) warm temperatures with little chance of precipitation. Wheat grazing prospects look dim and risky this fall.”

Estimated total cattle slaughter last week was 667,000 head, which was 63,000 more than the previous holiday-shortened week. Year-to-date estimated total cattle slaughter of 24.0 million head was 328,000 (+1.4%) more than last year. Estimated year-to-date beef production of 19.8 billion lbs. was 226.9 million lbs. more (+1.2%).

Cattle futures meandered Friday amid the heavy beef production, high Corn price outlook and recently lower wholesale beef values.

Live Cattle futures closed an average of 23¢ lower (5¢ to 35¢ lower).

Feeder Cattle futures closed mixed, from an average of 60¢ lower to 33¢ higher.

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

For the week, live prices were $1 higher in the Southern Plains at $142/cwt., steady to $1 higher in Nebraska at $143 and steady to $2 lower in the western Corn Belt at $143-$144. Dressed prices were steady to $1 higher in Nebraska at $226-$227. Dressed prices in the western Corn Belt the previous week were $225-$230.

Choice Boxed beef cutout value was 6¢ higher through Friday afternoon at $252.40/cwt. Select was $3.30 lower at $226.65/cwt.

Corn futures closed mixed from fractionally lower to 1¢ higher.

Soybean futures closed an average of 2¢ lower through Sept. ‘23 and then unchanged to fractionally higher.

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Major U.S. financial indices lost more ground Friday amid growing global recession fears.

Preliminary quarterly results from FedEx late the previous day underscored the worries.

First-quarter FedEx results were adversely impacted by global volume softness that accelerated in the final weeks of the quarter, according to the company’s update. FedEx Express results were particularly impacted by macroeconomic weakness in Asia and service challenges in Europe.

As a result of the preliminary first quarter financial performance and expectations for a continued volatile operating environment, FedEx withdrew its fiscal year 2023 earnings forecast issued in June.

The Dow Jones Industrial Average closed 139 points lower. The S&P 500 closed 28 points lower. The NASDAQ was down 104 points.

West Texas Intermediate Crude Oil futures on the CME closed 7¢ to 20¢ higher through the front six contracts.

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USDA’s Economic Research Service (ERS) raised expected feeder steer prices (750-800 lbs., Oklahoma City) in the latest Livestock, Dairy and Poultry Outlook, compared to the previous month. Forecast prices were $2 higher in the third quarter at $173/cwt. and $4 higher in the fourth quarter to $177. The 2022 annual average prices increased $1.50 to $166.10. Projected prices for the first and second quarters next year increased $3 and $4, respectively to $172 and $190. The forecast 2023 average annual price increased $1.75 to $201.

“Calf prices are raised for 2022 and early 2023 as expected placements in feedlots reach deeper into tight supplies outside feedlots … Based on recent NASS Cattle on Feed reports, average placement weights are declining, suggesting fewer yearlings are available for placement. This has likely improved demand for calves weighing over 700 lbs.,” say ERS analysts. “The price for feeder steers 750-800 lbs. at the Oklahoma City National Stockyards averaged $174.18/cwt. in August, up nearly $5 from last month and $18 from last year. The most recent available price from Sept. 12 reports sales of yearling feeder steers at $180.35, a jump of more than $6 from the previously reported week.”

ERS analysts explain more feedlot placements in July than anticipated, as well as   weekly reported sticker and feeder cattle sales in August supports raising anticipated placements in the third quarter of this year.

“This has further resulted in raising expected fed cattle marketings in early 2023 and subsequently raising projected first-quarter 2023 beef production,” ERS analysts say. “As the drought pushes more calves into feedlots at a quicker pace than normal, this will likely pull feeder cattle forward next year, decreasing expected marketings in late 2023.”

Steady to higher cash prices helped lift Live Cattle futures an average of 64¢ higher (22¢ to $1.27 higher) on Thursday.

Negotiated cash fed cattle trade was slow on light demand in the Southern Plains through Thursday afternoon, according to the Agricultural Marketing Service. So far this week, live prices are $1 higher at $142/cwt.

Trade was slow on moderate demand in Nebraska with live prices steady to $1 higher at $143. Dressed prices are steady to $1 higher at $226-$227.

In the western Corn Belt, trade was limited on light demand. So far this week, live prices are steady to $2 lower at $143-$144. Dressed prices last week were $225-$230.

Choice Boxed beef cutout value was $1.13 lower Thursday afternoon at $252.34/cwt. Select was 16¢ lower at $229.95/cwt.

Feeder Cattle futures wobbled Thursday with more strength through the back half of the board. They closed mixed, from an average of 34¢ lower to an average of 41¢ higher.

That was despite softer grain futures with Corn following wheat and closing 4¢ to 8¢ lower. Soybean futures closed mostly 3¢ lower through Jly ‘23 and then mostly 9¢ lower.

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Major U.S. financial indices closed lower Wednesday amid mixed economic news and lingering worries about slowing economic growth.

The Dow Jones Industrial Average closed 173 points lower. The S&P 500 closed 44 points lower. The NASDAQ was down 167 points.

West Texas Intermediate Crude Oil futures on the CME closed $3.38 to $3.60 lower through the front six contracts, pressured by demand concerns.

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Freight railroads and unions reached a tentative agreement late to avert a worker strike.

According to a statement from the Association of American Railroads, the new contracts would provide rail employees a 24% wage increase during the five-year period from 2020 through 2024, including an immediate payout on average of $11,000 upon ratification by the unions.

“This tentative agreement provides for the highest general wage increases over the life of the agreement in over 45 years,” according to a joint statement by the Brotherhood of Locomotive Engineers and Trainmen (BLET), a Division of the Rail Conference of the International Brotherhood of Teamsters, and the Transportation Division of the International Association of Sheet Metal, Air, Rail, and Transportation Workers (SMART-TD).

Feeder Cattle futures closed an average of 52¢ higher Wednesday as Corn Futures retreated 8¢ to 10¢ lower through Jly ’23 and then mostly 2¢ to 4¢ lower.

Soybean futures closed mostly 18¢ to 23¢ lower.

Live Cattle futures closed an average of 26¢ lower except for unchanged to an average of 12¢ higher in three contracts.

The looming railroad strike continues to add uncertainty to the mix.

Negotiated cash fed cattle trade ranged from a standstill to limited on light demand through Wednesday afternoon, according to the Agricultural Marketing Service. There were a few dressed trades in Nebraska at $226-$227/cwt. and a few live trades in the western Corn Belt at $143, but too few to trend.

Last week, live prices were $141/cwt. in the Southern Plains, $142-$143 in Nebraska and $143-$146 in the western Corn Belt. Dressed prices were $226 in Nebraska and $225-$230 in the western Corn Belt.

Choice Boxed beef cutout value was $3.19 lower through Wednesday afternoon at $253.47/cwt. Select was $3.47 lower at $230.11/cwt.

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Major U.S. financial indices firmed Wednesday following the previous session’s steep selloff

The Dow Jones Industrial Average closed 30 points higher. The S&P 500 closed 13 points higher. The NASDAQ was up 86 points.

West Texas Intermediate Crude Oil futures on the CME closed 70¢ to $1.17 higher through the front six contracts.

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American Foods Group (AFG), LLC broke ground this week on the a beef processing facility in Warren County, Missouri.

The family-owned company plans to process 2,400 cattle per day and intends to be fully operational by the end of 2024.

AFG is investing $800 million in the new 775,000 sq. ft. facility. The company plans to create more than 1,300 new jobs in the region with an annual payroll of approximately $80 million. Currently, AFG employs more than 4,500 across the U.S.

Sharply lower outside markets pressured by higher inflation than expected compounded the previous day’s lower corn yield estimates, weighing on Cattle futures.

Feeder Cattle futures closed an average of $1.88 lower ($1.10 to $2.60 lower).

Live Cattle futures closed an average of 77¢ lower.

That was with Corn futures retreating on the same macroeconomic news.

Corn futures closed 1¢ to 3¢ lower through Sep ‘23, then mostly fractionally higher.

Soybean futures closed mostly 3¢ to 9¢ lower through Jly ‘23 and then mostly 1¢ higher.

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

Last week, live prices were $141/cwt. in the Southern Plains, $142-$143 in Nebraska and $143-$146 in the western Corn Belt. Dressed prices were $226 in Nebraska and $225-$230 in the western Corn Belt.

Choice Boxed beef cutout value was $2.28 lower through Tuesday afternoon at $256.66/cwt. Select was $2.18 lower at $233.58/cwt.

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As alluded to, Major U.S. financial indices plunged Tuesday on a steamier inflation reading than expected.

The Consumer Price Index for All Urban Consumers (CPI-U) rose 0.1% in August on a seasonally adjusted basis after being unchanged in July, according to the U.S. Bureau of Labor Statistics. Over the last 12 months, the all-items index increased 8.3% before seasonal adjustment. The all-items less food and energy index rose 6.3% over the last 12 months.

The Dow Jones Industrial Average closed 1,276 points lower. The S&P 500 closed 177 points lower. The NASDAQ was down 632 points.

West Texas Intermediate Crude Oil futures on the CME closed 47¢ to 78¢ lower through the front six contracts.

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The latest World Agricultural Supply and Demand Estimates (WASDE) underscored elevated heifer and cow slaughter by increasing expected beef production this year to 26.33 billion lbs. That’s 70 million lbs. more than the previous month’s projection, with higher anticipated slaughter in the second half of the year offset slightly by lower expected third-quarter carcass weights.

“While increased cow and heifer slaughter totals are contributing to higher beef production this year, the longer-run implications are tighter supplies,” explains Josh Maples, Extension livestock economist at Mississippi State University, in a recent issue of Cattle Market Notes Weekly. “The higher slaughter totals imply fewer cows and fewer replacement heifers to produce calves. The current WASDE projection for 2023 beef production would be about 6% below the current 2022 projection. Price expectations are reflecting these tighter supplies.”

WASDE analysts estimated this year’s annual weighted average five-area direct fed steer price 70¢ higher at $142.80/cwt. Prices are forecast to be $143 in the third quarter and $147 in the fourth quarter. Next year’s projected average price was unchanged at $154.

Corn futures climbed 9¢ to 13¢ through July ’23 Monday, in response to the latest monthly World Agricultural Supply and Demand Estimates, which reduced expected production (see below).

Soybean futures closed 60¢ to 76¢ higher through Jly ‘23 and then mostly 32¢ to 40¢ higher.

Feeder Cattle futures closed an average of $1.32 lower (30¢ lower at the back to $2.45 lower toward the front).

Live Cattle edged an average of 19¢ higher, maintaining the previous session’s gains with some optimism for cash trade this week.

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

Last week, live prices were steady to $1 higher in the Southern Plains at $141/cwt., steady to $3 lower in Nebraska at $142-$143 and steady to $1 higher in the western Corn Belt at $143-$146. Dressed prices were $2-$4 lower in Nebraska at $226 and $2-$3 lower in the western Corn Belt at $225-$230.

The five-area direct fed steer price last week was $142.48 on a live basis, which was 40¢ less than the previous week. The average five-area direct steer price in the beef was $2.10 lower at $226.68.

Choice Boxed beef cutout value was $1.68 higher through Monday afternoon at $258.94/cwt. Select was $1.03 higher at $235.76/cwt.

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Major U.S. financial indices extended gains Monday on what some are terming a relief rally. 

The Dow Jones Industrial Average closed 229 points higher. The S&P 500 closed 43 points higher. The NASDAQ was up 154 points.

West Texas Intermediate Crude Oil futures on the CME closed 99¢ to $1.21 higher  higher through the front six contracts.

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The latest World Agricultural Supply and Demand Estimates (WASDE) provided price support for corn with the estimated season average farm price (SAFP) received by producers 10¢ higher than the previous month’s estimate at $6.75/bu.

WASDE reduced projected 2022-23 production 415 million bu. less at 13.9 billion bu. based on yields down 2.9 bu./acre at 172.5. Harvested area for grain was forecast at 80.8 million acres, down 1.0 million. Ending stocks were projected 169 million bu. less at 1.2 billion.

U.S. soybean production for 2022-23 was projected 152 million bu. less than the previous month at 4.4 billion bu., on yield forecast at 50.5 bu./acre, which was 1.4 bu. less than the previous estimate. Harvested area was also projected to be 0.6 million acres less.

Even so, the projected SAFP remained unchanged with soybeans at $14.35/bu., soybean meal at $390/short ton and soybean oil at 69.0¢/lb.

The outlook for wheat supply and use was unchanged. The expected SAFP declined 25¢ to $9.00/bu., which would be record high.

Corn futures closed 11¢ to 24¢ higher through Sep ’23, then 6¢ to 8¢ higher on expectations Monday’s USDA crop report will show a reduction in yields.

Soybean futures closed mostly 17¢ to 26¢ higher.

Feeder Cattle futures closed an average of 66¢ higher, helped along by strong cash demand.

Live Cattle futures closed an average of $1.00 higher, apparently with some speculation that cash prices will move higher next week, given ho-hum interest from packers the last couple of weeks.

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

Regionally, negotiated cash fed cattle prices last week were mainly steady to lower. Live prices were steady to $1 higher in the Southern Plains at $141/cwt., steady to $2 lower in Nebraska at $143 and steady in the western Corn Belt at $143-$145. Dressed prices were $2-$4 lower in Nebraska at $226. The previous week, dressed prices were $228-$232 in the western Corn Belt.

Choice Boxed beef cutout value was 75¢ lower at $257.26/cwt. Select was $1.31 lower at $243.73/cwt.

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Major U.S. financial indices closed higher on Friday.

The Dow Jones Industrial Average closed 377 points higher. The S&P 500 closed 61 points higher. The NASDAQ was up 250 points.

West Texas Intermediate Crude Oil futures on the CME closed $3.14 to $3.29 higher through the front six contracts.

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In a recent issue of Cattle Market Notes Weekly, Burdine also notes beef cow slaughter levels remain 14% higher year over year. It is significantly more in the Southern Plains and surrounding states.

David Anderson, Extension livestock economist with Texas A&M AgriLife Extension Service provided perspective in the early-September issue of In the Cattle Markets from the Livestock Marketing Information Center. He looked at federally inspected beef and dairy cow slaughter for region 6, which includes Texas, Oklahoma, Louisiana, Arkansas, and New Mexico. He also compared cow slaughter in the region this year to levels during the last major drought (2011-12) in Texas and parts of other states.

“Cow packing plants in region 6 have processed 668,000 beef cows this year, up 31% (or 157,000 head) from last year. They have processed 217,000 dairy cows this year, just slightly below last year,” Anderson explains. “The states in region 6 reported 8.4 million beef cows on January 1, 2022. Those states had 8.8 million beef cows on January 1, 2011. While cows may come into the region for slaughter, it’s likely that a larger proportion of the herd has been culled this year than in the last major drought.”

So far this year, Anderson says 8,000 more beef cows in region 6 have been slaughtered than in 2011; 164,900 head more than in 2012.

Recent rain and moderate temperatures across Texas could slow culling in the near term, according to Anderson.

“Watch national and regional beef cow culling over the next six weeks to better gauge the impact of these storms,” Anderson says. “Seasonally, the largest cow culling weeks of the year nationally occur in October and November. Rain and earlier heavy culling rates could pull back slaughter and boost prices.”

Feeder Cattle futures edged an average of 36¢ higher Thursday, supported by weaker Corn futures that were mostly 2¢ lower.

Live Cattle futures closed mixed, from an average of 27¢ lower to an average of 8¢ higher with pressure from the steady to lower cash trade.

Live prices were steady in the Texas Panhandle and $1 higher in Kansas at $141/cwt. They were $1 lower in Nebraska at $142-$144 with dressed prices mostly $2-$4 lower at $226. Trade and demand were moderate in both regions, according to the Agricultural Marketing Service.

Trade was slow on light to moderate demand in the western Corn Belt. There were a few live trades at $143, but too few to trend. Last week, live prices were $143-$145 and dressed prices were $228-$232.

Choice Boxed beef cutout value was $3.33 lower Thursday afternoon at $258.01/cwt. Select was $1.47 lower at $236.04/cwt.

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Major U.S. financial indices extended gains Thursday for the second consecutive session, but trade was volatile as investors wrestle with inflation wonderments in tandem with economic growth. 

The Dow Jones Industrial Average closed 193 points higher. The S&P 500 closed 26 points higher. The NASDAQ was up 70 points.

West Texas Intermediate Crude Oil futures on the CME closed 84¢ to $1.60 higher through the front six contracts.

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U.S. beef exports topped $1 billion in July — for the sixth time this year — and posted the fifth-largest volume on record, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF).

July beef exports totaled 126,567 metric tons (mt), up 3% year-over-year. Export value increased 7% to $1.006 billion.

For the first seven months of the year, beef exports increased 6% from a year ago to 870,471 mt, valued at $7.2 billion (up 29%). Export value per head of fed slaughter is on a record pace at more than $475.00.

“Global demand for U.S. beef continues to be amazingly resilient, especially at the retail level,” said USMEF President and CEO Dan Halstrom. “Exports have also benefited from a partial rebound in the foodservice sector but this recovery is far from complete. Many markets are still gradually easing COVID restrictions, so we definitely see opportunities for further growth as restaurant traffic returns. Headwinds remain formidable, however, including further devaluation of key trading partner currencies.”

Japan was the pacesetter for July exports, but volumes also increased year over year to China/Hong Kong, the ASEAN region, Central America, the Caribbean and Colombia. July exports eased for South Korea and Taiwan, though both markets remain on a record pace in 2022.