by Andrew Griffith, Livestock Marketing Specialist
March 27, 2026
FED CATTLE
Fed cattle traded steady compared to a week ago. Prices on a live basis were mainly $234 to $235 while dressed prices were at mainly $371 to $372.
The 5-area weighted average prices thru Thursday were $234.94 live, up $0.89 compared to a week ago and $371.71 dressed, up $1.71 compared to last week. A year ago, prices were $212.25 live and $333.23 dressed.
Cattle feeders and packers decided to start trading finished cattle on Thursday this week instead of waiting for Friday afternoon to do business, which has seemed to be the norm as of late. The only benefit of trade occurring earlier in the week is this report then has accurate prices for finished cattle. The 5-area weighted average prices for cattle on a live basis have ranged from $232 to $247 the first three months of the year, and they have spent the past several weeks moving back towards the lower end of that range. One could use an educated guess and figure finished cattle prices will not decline much further in the near term as prices should begin to rebound in the coming weeks. Stranger things have happened.
BEEF CUTOUT
At midday Friday, the Choice cutout was $394.09 up $4.24 from Thursday and down $6.33 from a week ago. The Select cutout was $391.89 up $0.23 from Thursday and down $0.89 from last week. The Choice Select spread was $2.20 compared to $7.64 a week ago.
After a couple of weeks of stronger wholesale beef prices, the market faltered slightly this week as prices slipped several dollars compared to last week. The prevailing thought was retailers, restaurants, and food service entities were attempting to secure inventory prior to when they expected beef prices may start increasing rapidly, and that still could be the case. However, they decided to slow that process this week with less willingness to bid beef prices higher. It is difficult to know exactly what that means for the retail side of the business, but it does mean the packer is being paid less. Part of the slowdown could have been a shift of focus to late Easter meal purchases as ham is a common centerpiece for many Easter meals. Regardless of the regression in beef prices this week, the beef market will be supported in late April and through May as the summer grilling season takes center stage. The consumer will reveal their willingness to pay higher beef prices soon enough. The summer grilling season will set the stage for the remainder of the year.
OUTLOOK
Based on Tennessee weekly auction market average prices, steer prices were $3 to $12 higher than last week, while heifer prices were $3 to $11 higher compared to the previous week. Slaughter cow prices were $1 to $4 higher this week compared to a week ago while slaughter bull prices were $1 to $4 higher compared to last week. Calves ready to go to grass continue to sell like hotcakes, which has resulted in prices continuing to increase. This fits very well into the seasonal tendency for these animals as the price of weanling age calves tends to peak in March or April. The only difference so far when compared to most years is that calf prices started increasing at a rapid pace much earlier in the year. The price trend could also extend further as cattle buyers pursue the limited quantity of calves to turn out on pastures. It is rather amazing how strong cattle prices are in the grand scheme of things. There is no doubt cattle prices should be high relative to previous years due to reduced supply of cattle and beef and strong beef demand, but who would have ever thought finished cattle weighing 1,500 pounds would be selling for a price that many cow-calf producer would have been tickled with a few years ago for a 500 pound calf? This is difficult to fathom, but it is clearly where the market has settled. Cattle producers continue to set new reference points as it relates to cattle prices. As an example, if the price of a 500 pound calf declined $100 per hundredweight then the calf would be worth $500 less than the current price. Would that still be a strong price? Of course, it would still be a strong price, but the cow-calf producer selling those calves would be frustrated because the value had declined $500. Those producers would still be making strong profits on every calf, but the new reference point of high prices would frustrate the producer. This is not to say prices should be lower or higher. The point is the cow-calf producer is in the driver’s seat, and the cow-calf producer should be profitable for several years.
ASK ANDREW, TN THINK TANK
Right is right, and wrong is wrong! The cattle business has many junctures and many decisions are made between each juncture. The cattle producer must take care of animals in the “right” manner to ensure the animals are healthy, well fed, and cared for in an appropriate manner. There may be many methods to ensure these minimum requirements are met, but there are also many actions or failures to act that can be wrong. There is also right and wrong when animal ownership is being transferred. Believe it or not, there are dishonest people in the cattle business. Some of them do not even consider some of their practices dishonest, because that is all they have ever known, but transparency when selling and buying cattle is a good policy. Money can make people act in ways that are not appropriate, but there is nothing in the cattle business so valuable that it is worth destroying a relationship or compromising one’s character or morals. Hopefully, we all work to be better in the cattle business and our relationships.
Please send questions and comments to agriff14@utk.edu.
FRIDAY’S FUTURES MARKET CLOSING PRICES
Friday’s closing prices were as follows: Live/fed cattle –April $238.50 +3.40; June $238.78 +3.98; August $236.05 +3.65; Feeder cattle –April $361.45 +6.38; May $359.83 +8.08; August $357.80 +7.43; September $355.53 +6.75; May corn closed at $4.62 down 5 cents from Thursday.