Cattle futures reversed Monday on likely profit taking from last week’s heady gains as traders await this week’s cash fed cattle direction and eye seasonally slumping wholesale beef values.
Toward the close, Live cattle futures were an average of $1.92 lower. Feeder Cattle futures were an average of $4.82 lower.
Negotiated cash fed cattle trade was inactive on moderate demand in all major cattle feeding regions through Monday afternoon, according to the Agricultural Marketing Service.
Last week, FOB live prices were $4-$6 higher in the Texas Panhandle at $228-$230/cwt., mostly $5 higher in Kansas at mainly $230, $9-$10 higher in Nebraska at $240-$241 and mostly $6-$10 higher in the western Corn Belt at mainly $240. Dressed delivered prices were $12 higher at $380.
Last week’s weighted average five-area direct FOB live fed steer price was $7.78 higher at $237.21/cwt. The weighted average dressed delivered fed steer price was $9.91 higher at $379.21.
Choice boxed beef cutout value was $1.57 lower Monday afternoon at $377.07. Select was $1.91 lower at $364.58.
Grain and Soybean futures were mixed Monday.
Toward the close and through Mar ‘26 contracts, Corn futures were 4¢ to 9¢ higher. Kansas City Wheat futures were 2¢ lower to 2¢ higher. Soybean futures were mostly unchanged to 7¢ lower.
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Major U.S. financial indices were little changed, but to the upside Monday, as investors parsed whirling tariff rhetoric.
The Dow Jones Industrial Average closed 88 points higher. The S&P 500 closed 8 points higher. The NASDAQ was up 54 points.
Through midafternoon, West Texas Intermediate Crude Oil futures (CME) were 67¢ to $1.56 lower through the front six contracts.
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Wholesale beef values are declining seasonally, but weekly average Choice boxed prices remain 19.1% higher year over year and have averaged 12.6% more year over year each week in the first half of the year, according to Derrell Peel, Extension livestock marketing specialist at Oklahoma State University, in his weekly market comments.
“Higher average boxed beef prices reflect generally strong beef demand coupled with declining beef production, especially in the second quarter of the year,” Peel explains. “Total beef production is down 1.7% year over year through the first half of the year but is down 4.8% in the second quarter. Fed (steer + heifer) slaughter was down 6.3% in the second quarter, leading to a 4.1% year-over-year decrease in fed beef production. Total cow slaughter continued lower, down 11.0% in the second quarter, leading to an 8.5% drop in non-fed beef production for the period.”
Moreover, Peel notes all beef primals are priced above year-ago levels with the Rib primal up 7.0%, Loin primal up 19.3%; Chuck primal up 20.2% and the Round primal up 16.4% year over year. He explains prices for Brisket, Short Plate and Flank primals are also sharply higher year over year, as are prices for lean and fatty trimmings.