Prepared and written by Jeff Swenson, DATCP Livestock and Meat Specialist. The Market Update draws information from several sources, including trade publications, radio broadcasts, agricultural news services, individuals involved in the industry as well as USDA NASS and AMS reports.
Cattle
Cattle futures were sharply lower last Friday before heading into a three-day weekend. Cash cattle were expected to be higher last week and had gained momentum, although sharply lower cattle futures on Friday limited prices at the end of the week. It is still unclear what caused the sell-off, but prices were expected to recover at least some of the losses this week. The cutout value has stabilized somewhat so packers will be balancing between finding enough cattle to fill schedules and limiting production to keep wholesale prices at steady to higher prices. The Choice-Select spread remains largely nonexistent. The Choice cutout averaged $359.35 last week, making it $5.02 higher. The Select cutout value was $7.84 higher last week, averaging $358.55. Last week’s estimated harvest of 562,000 head was 9,000 more than the previous week and 39,000 fewer than last year. Year to date harvest is 14.9% lower than the first two weeks of 2025. Tight supplies of lean trim for ground beef remain a concern. The cutter cow carcass cutout value was $10 higher than the previous week last Friday, and price of 90% trim was nearly $16 higher. USDA will release a Cattle on Feed Report Friday. December 2025 placements are predicted to be 5% less than 2024. January 1 on feed estimates for inventory are 2%-3% below a year ago. Marketings will be higher due to one more business day than the previous year.
Top Quality
Fed cattle were mostly higher with some Midwest auction markets reporting smaller runs. Top quality beef steers and heifers brought $222-$234/cwt. Mixed Choice and Select steers and heifers ranged from $212-222/cwt. High grading Holstein steers were steady at $188-$209/cwt. Lower grading steers brought $169-$188/cwt. Silage fed, under finished steers brought $90-$168/cwt. Dairy Beef cross steers were steady to higher, bringing $181-$227. Cows were mostly steady. Most cows brought $104-$141/cwt with a few selling into the high $150s. Lower yielding cows brought $60-$104/cwt. Doubtful health and thin cows brought up to $60/cwt. Dairy breed bull calves were higher, selling from $650-$1,275/head, with some higher. Dairy breed heifer calves brought $200-$600/head. Beef and Beef Cross calves were steady from $700 to $1,600/head, with some higher. Light and lower quality calves sold up to $60.
