Farms.com Home   News

Wholesale Beef Prices Turn Sharply Lower

Wholesale beef prices turn sharply lower
Beef prices typically experience a seasonal decline at the end of summer, but the decline in prices since August this year has been particularly steep, and the combination of abundant supplies and lower demand suggests cattle and beef prices could continue to decline. Cattle are remaining on feed longer and are currently being marketed at record-high weights, resulting in increased beef production this year despite the historically small cattle supplies. At the same time, beef demand is in the midst of its seasonal decline as attention shifts from grilling to roasting items. As a result, wholesale beef prices have declined steadily since late August, while the price premium that Choice beef typically receives over the Select grade is diminishing, reflecting current strong supplies of these higher graded cuts relative to previous periods.  Adding to the market pressures, beef exports are down from this time last year due to a strengthening U.S. dollar and softening demand for U.S. beef, resulting in larger-than-anticipated volumes to be consumed in the domestic market and the expectation for continued downward pressure on prices in the near term. This chart is from the October Livestock, Dairy, and Poultry report. 
 

Trending Video

$5 Corn, $12 Soybeans, $7 Wheat & $750 Canola! Is the Top In/Party Over?

Video: $5 Corn, $12 Soybeans, $7 Wheat & $750 Canola! Is the Top In/Party Over?


$5 corn, $12 soybeans, $7 wheat & $750 canola! Is the top in and the party over with lower crude oil and an end to the Iran war?
The 2026 USDA May report could see ending stocks fall further due to red-hot U.S. corn exports, lower HRW production and lower Brazil corn production?
OK HRW wheat tour sees crop down 50% + Kansas Quality Council Wheat tour next week.
Headline news that U.S. could import Brazilian beef weighed on cattle futures.
Headline news of pseudorabies disease found in hogs in Iowa and #1 buyer Mexico may restrict exports weighed on hog futures.
Stocks are on fire.
5 senators are in China planning ahead of the Trump/Xi meeting on May 14/15. CFTC.