June 22

6/22 - WEEKLY COMMODITY SUMMARY:

• In last week’s monthly cattle report, the USDA said feedlot inventories on June 1st were 11.68M head, up 2.1% from a year ago. While new placements onto feedlots in May were 9.7% below last year, a plunge in cattle marketings, down 11.8%, allowed feedlot inventories to rise. It’s likely that demand is softening a bit in response to sky-high prices.

• In last week’s Livestock, Dairy and Poultry Outlook, the USDA forecast U.S. beef production to decline by 2.1% in 2026, following a 3.6% decline in 2025. And screwworm is still a huge threat to cattle, although reports of additional U.S. cases have been suspiciously quiet. On a positive note, beef imports – mostly 90s lean trimmings - look to be up by 11.7% in 2026, following an 18.0% increase in 2025.

• The USDA projects 2026 cattle prices to average a record-high $250.16/cwt, up 11.5% from a year ago, and for cattle prices to rise an additional 1.4% to $253.75 in 2027.