Cattle futures closed lower Friday with week-end and month-end position squaring and profit taking.
Live cattle futures closed an average of 43¢ lower. Feeder Cattle futures closed an average of 93¢ lower.
Week to week on Friday, Live Cattle futures closed an average of 86¢ lower (32¢ to $1.10 lower), recovering much of steep early-week losses tied to unfounded rumors of New World screwworm being detected in the U.S. Feeder Cattle futures closed an average of $1.23 lower week to week.
Negotiated cash fed cattle trade through Friday afternoon ranged from inactive on moderate demand in the Southern Plains to light on very good demand elsewhere, according to the Agricultural Marketing Service.
Last week, FOB live prices were mostly $1-$3 higher in the Texas Panhandle at $221 to mostly $223/cwt., $1-$3 higher in Kansas at mainly $222, $5-$6 higher in Nebraska at $235-$237 and steady to $5 higher in the western Corn Belt at $230-$235. Dressed delivered prices were $3-$5 higher in Nebraska at $365-$370 and $6-$11 higher in the western Corn Belt at $371.
Estimated total cattle slaughter last week of 477,000 head was 93,000 head fewer than the previous week (keeping in mind the holiday-shortened week) and 62,000 head fewer than the same week last year. Year-to-date total estimated cattle slaughter of 12.3 million head was 825,000 head fewer (-6.3%) than the same time last year. Estimated year-to-date beef production of 10.7 billion pounds was 323.5 million pounds less (-2.9%).
Choice boxed beef cutout value was 25¢ higher Friday afternoon at $366.34/cwt. Select was $3.01 higher at $356.65. Week to week on Friday, Choice was $4.79 higher and Select was $5.33 higher.
Turning to the grain complex, Corn and Soybean futures were lower Friday, pressured by favorable weather, renewed trade uncertainty and position squaring to round out the month and week.
Corn futures closed 1¢ to 4¢ lower through Jly ’26 and then fractionally higher to 3¢ higher. Soybean futures closed 9¢ to 12¢ lower through Aug ’26, and then mostly 5¢ lower. Kansas City Wheat futures closed fractionally higher to 1¢ higher.
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Major U.S. financial indices closed little changed Friday with support from a softer inflation reading than expected.
The personal consumption expenditures price index increased 0.2% month to month in May, according to the U.S. Bureau of Labor Statistics. It was 2.1% higher year over year.
The Dow Jones Industrial Average closed 54 points higher. The S&P 500 closed fractionally lower. The NASDAQ was down 62 points.
Through midafternoon, West Texas Intermediate Crude Oil futures (CME) were 15¢ to 65¢ lower through the front six contracts.
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Higher average fed cattle prices and lower average cost of gain lifted projected net cattle feeding returns in the most recent Historical and Projected Kansas Feedlot Net Returns from Kansas State University. Keep in mind the projections do not consider price risk management.
Projected net returns for fed steers range from $461.89 per head in May to $243.23 in October with feedlot cost of gain ranging from $98.71/cwt. in July to $102.55 in October. Projected net fed steer returns turn negative for the next three months in the series, ranging from -$65.80 per head in November to -$161.88 in January 2026 with feedlot cost of gain ranging from $101.91 to $104.68/cwt.
Similarly, projected net fed heifer returns are positive from May through November, ranging from $416.22 per head in May to $56.93 in October with feedlots cost of gain ranging from $105.95/cwt. in May to $110.10 in October. Projected net fed heifer returns are negative in December (-$95.14 per head) and January (-$171.53) with feedlot cost of gain ranging from $107.55 to $110.08/cwt.