The Choice boxed beef cutout topped $400 per cwt last week and is up about $50 per cwt since the start of the year. The Choice cutout is over $400 for the first time since the 2025 highs in September. The select cutout has also surged and is at levels only surpassed by May 2020. The gap between the Choice and Select cutout has been narrow during the first few months of 2026, indicating there has not been much of a premium for Choice cattle over Select.
Boxed beef values tend to build gradually through the first quarter before accelerating in the spring and reaching a seasonal peak ahead of summer grilling season. In 2026, the cutout has surged earlier in the year as cyclical market fundamentals are outweighing typical seasonality. Cattle supplies and beef supplies are tight. When supplies are tight, wholesale prices tend to respond quickly. Additionally, buyers may be pulling some purchases forward due to expectations of tight supplies and even higher prices later this spring.
Increases in the Rib and Loin primal values since the start of the year are key contributors to the overall cutout value increase. In 2025, the Rib value ran up sharply from March to April, while the Loin value increased from March to June. This year, both primal values have been on a strong uptrend since mid-January. For producers, strong early-year boxed beef prices are supportive of fed cattle markets. Strong demand and tight supplies are supporting beef values in 2026.
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