by Andrew Griffith, Livestock Marketing Specialist
July 17, 2026
FED CATTLE
Fed cattle traded $10 lower on a live basis compared to last week. Prices on a live basis was mainly $237 to $239 while dressed prices were mainly $376 to $379
The 5-area weighted average prices through Thursday were $238.59 live, down $9.41 from last week and $377.33 dressed, down $14.51 from last week. A year ago, prices were $235.91 live and $379.32 dressed.
What a week for finished cattle trade as prices “collapsed” relative to what the market has been doing. Will this be a one and done type of week? Will prices rebound next week? Will they rebound at all? Are market participants overreacting to information? Anyone with the answers to these questions would not be writing these comments or physically owning cattle. They would simply be trading paper and make a good living with no sweat drenching their shirt. There does appear to be a bit of bearish tone in the cattle and beef complex, but supply and demand have not fundamentally changed. Thus, one could hypothesize this is just a hitch in the giddy up, but it is not worth betting the farm on.
BEEF CUTOUT
At midday Friday, the Choice cutout was $368.69 up $0.31 from Thursday and down $15.21 from a week ago. The Select cutout was $356.35 up $0.66 from Thursday and down $14.30 from last week. The Choice Select spread was $12.34 compared to $14.25 a week ago.
It is safe to say wholesale beef prices are waning in the summer heat with the only hope of support being the long Labor Day weekend. Choice beef prices have been strong all year, but they failed to display seasonal strength for the summer grilling season, which means consumers are pushing back on ever increasing retail beef prices. It is not surprising for consumers to finally say they will not pay higher prices. What is surprising is the magnitude of decline in wholesale beef prices this week compared to last week. The hope is there is some degree of support from the last traditional grilling holiday of the year, but it would appear the fall months are going to be lean as it relates to wholesale beef prices. There are certainly factors such as fuel price that could influence beef expenditures at the consumer level, but they may be less impactful than many people believe. In all likelihood, more consumers are likely to trade down to more ground beef products than reducing beef consumption. This means strong slaughter cow prices and more lean grinding beef imports.
OUTLOOK
Based on Tennessee weekly auction market average prices, steer prices were $1 to $6 lower compared to last week, while heifer prices were unevenly steady compared to the previous week. Slaughter cow prices were $2 to $5 higher this week compared to a week ago while slaughter bull prices were steady to $1 higher compared to last week. It took three weeks for the August feeder cattle futures contract to move from a contract low price near $336 to a near contract high over $377. Over the past three weeks, the August feeder cattle contract price has declined approximately $30 per hundredweight. During that same six-week period, the CME Feeder Cattle index value has ranged from a low of $359.21 to a high of $381.86 per hundredweight. There seem to be two extremely noteworthy aspects of the market. The first is that futures traded in a $41 range while cash prices traded in a $22 range. The second aspect to note is the lowest cash price over this six-week period was $23 per hundredweight higher than the lowest futures price. Thus, despite the collapse of the August feeder cattle contract the past few weeks, this is not the time to give up hope. The cash price of calves and feeder cattle will certainly ebb and flow with the futures market, but the cash market has not experienced the volatility of the futures market. At this time, there is no reason to expect the cash market to experience the same volatility as the futures market, but that does not mean it cannot and will not happen. As far as cash prices at Tennessee auction markets, the price received at early week sales appeared to be a touch stronger than sales conducted later in the week. This price trend would follow what happened in the futures market this week as prices softened all week. Producers should take note that slaughter cow prices continue to hold and even push higher. Given the decline in beef cow slaughter, the price of slaughter cows may not seasonally decline as much this fall as is typical. Thus, producers should consider taking advantage of a strong slaughter cow market.
ASK ANDREW, TN THINK TANK
How can I make more money with my cattle? How can I make be more profitable in the cattle business? These are broad questions that generally leads to some type of discussion on adding value to calves or reducing costs. However, there is a more basic answer that many people need to hear. That answer is “work more.” Some people will say the cliché of “work smarter, not harder.” It is wise to work smarter, but there is also a lot of value in working harder. It seems like many people have forgot or are too lazy to put in the time and effort to achieve their goals. In the case of cattle production, making money is typically a goal, and most people prefer more money to less. Thus, it may be time to start working a little harder to improve profitability of the cattle herd. This is likely to fall on deaf ears since cattle prices are high, but those who begin working harder will likely reap the benefits. For example, having well maintained fences will mean less time chasing cattle. Keeping brush cleaned up and pastures clear means less time searching for cattle.
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 –August $224.43 -2.65; October $220.70 -2.58; December $220.53 -2.68; Feeder cattle –August $345.95 -0.65; September $339.35 -1.00 October $332.83 -1.63; November $327.93 -2.13; September corn closed at $4.45 up 3 cents from Thursday.