Friday markets
The cattle market closed higher into the weekend following the release of mostly neutral USDA inventory reports.
Live cattle futures closed higher, up $1.67 to $227.07 on the August contract and up $1.12 on the October contract to $222.50.
Cash trade for the day totaled about 1,600 head. Live steers sold from $230-231, and dressed steers sold for $365. Total cash trade for the week through the afternoon was about 37,000 head.
Slaughter for the day totaled about 103,000 head, compared to 89,000 head a week earlier. With tomorrow’s slaughter expected at 14,000 head, total slaughter for the week is projected at 528,000 head, compared to 525,000 head a week earlier.
Boxed beef prices were lower on 131 loads. The Choice cutout lost $1.63 to close at $361.24, and the Select cutout lost $2.04 to close at $346.71.
Lean beef trim futures remained unchanged. The 50% trim August contract closed at $178, and the September contract closed at $168. The 90% trim August contract closed at $457, and the September contract closed at $453.
The monthly Cattle on Feed (COF) report showed total cattle and calves on feed as of July 1 at 11.4 million head, 2% higher than a year ago. Placements totaled 1.40 million head, 3% lower than 2025. Marketings were 1.66 million head, 3% lower than the same time last year. Other disappearance totaled 50,000 head, 6% lower.
“Given that the pre-report estimates were nearly spot on, it’s likely that Friday’s COF report will be glanced at and given little afterthought, and traders and cattlemen alike will likely spend more time mulling over the Cattle inventory report,” Stewart said. “The only specific line item that is worth noting from the report is that all of the placement weight classes were lighter than compared to a year ago, except those weighing under 600 pounds, which was up 5,000 head than compared to the June 2025 data. This is likely a result of cow-calf producers needing to sell and market their calves earlier than in years past as a vast majority of cattlemen in the West continue to struggle with drought conditions.”
The biannual Cattle inventory report showed 94.2 million head of cattle and calves in the U.S. as of July 1, up slightly from last year’s number of 94 million head. All cows and heifers that have calved totaled 38.1 million head, unchanged from last year.
All heifers 500 lbs. and over totaled 14.7 million head, 1% above 2025. Steers 500 lbs. and over totaled 13.9 million head, up 1% from last year. Bulls 500 lbs. and over totaled 1.90 million head, unchanged from 2025. Calves under 500 lbs. totaled 25.6 million head, unchanged from last year.
Cattle and calves on feed for the slaughter market for all feedlots totaled 13.2 million head, up 2% from last year.
The 2026 calf crop is expected to be 32.5 million head, down 2% from last year.
“Friday’s Cattle inventory report will likely be absorbed as a mixed to slightly bearish report, as the two big line items (the total number of beef cows and the total number of beef replacement heifers) were revealed to be in opposite directions,” Stewart said.
“When we step back and think about the data and how it fits into the grand scheme of the market, both line items seem logical,” she continued. “It’s likely that the total number of beef cows hasn’t increased, as many producers in the western part of the U.S. continue to struggle with drought conditions or are struggling to find a way to afford hay for this upcoming winter.
“But on the opposite side of the spectrum, there have also been those who have been blessed with rollover feed and know that opportunity lies ahead in the market for those with young stock,” Stewart said. “Whether that’s to keep the young females as replacements for their own operation or to have them to market when the time is right—it’s fun to have an ace in the hole when the pot is building.”
Feeder cattle
Feeder cattle futures closed higher, up $1.55 on the August contract to $345.32 and up $1.60 on the September contract to close at $341.45.
The CME Feeder Cattle Index lost $2.40 to close at $350.72.
Corn futures were unchanged at $4.64 and $4.87 on the September and December contracts, respectively. — Anna Miller Fortozo, WLJ managing editor
