Feeder cattle futures sink on surprise feedlot data - CME
Lean hog futures edge up as cattle markets absorb USDA report
25 May 2026
1 minute read
By: Chicago Mercantile Exchange (CME) feeder cattle futures plunged to multi-month lows on Friday as the US Department of Agriculture's monthly cattle on feed report showed more cattle placed in feedlots in April than analysts forecasted, reported Reuters.
Most-active August feeder cattle futures closed down 6.675 cents at 349.850 cents per pound, having reached their lowest point since March 20.
August live cattle edged up 0.15 cent on Thursday to 239.350 cents per pound.
The nation's cattle herd contracted to its smallest in 75 years this year, with cattle inventories diminishing because of a years-long drought that burned up grazing lands.
Cattle herds were also depleted by a US ban on imports of Mexican livestock, intended to keep out the New World screwworm parasite.
The USDA reported that the US had 2% more cattle in feedlots as of May 1 than a year earlier, compared with an average estimate of 1.6% from a Reuters poll of analysts.
The agency said that placements into feedlots last month were up 6% from a year earlier, compared with an average analyst guess of 3.4%.
A recent resurgence of drought in the US Plains has encouraged producers to send more of their cattle to feedlots, according to analysts.
Meanwhile beef packers lost an average of $358.70 per head of cattle on Friday, compared with losses of $322.95 a week ago, according to livestock marketing advisory service HedgersEdge.com.
The USDA reported choice boxed beef lost $1.21 to $390.27 per hundredweight, while select boxed beef $0.65 to $385.00.
In lean hogs, June futures firmed 0.625 cent to 95.750 cents per pound.
