Nationwide response to the COVID-19 pandemic continued to shake segments of the entire beef industry near the conclusion of a historic March 2020. Consumers continued to purchase food commodities off grocery shelves, while ag economists, like their counterparts on national economics, all began preparing for the reality of a recession.

Why did April 2020 live cattle futures lose $10.675 per hundredweight (cwt) from Friday, Feb. 21 to Friday, Feb. 28? Why did it recover $3.70 per cwt over the next three trading days?

The U.S. beef herd size periodically cycles through expansion and contraction, with about a 10-year cycle. This cycle is largely due to the time it takes to build because of cattle biology. 

The USDA NASS Cattle on Feed report for January was released Jan. 24. My take on the report is that it was reasonably neutral. Placements, marketings and on-feed numbers were all well within pre-report estimate ranges and were, in fact, very close to pre-report averages.

The latest monthly Cattle on Feed report showed the Jan. 1 inventory in feedlots (over 1,000 head) at 11.958 million head, 102.3% of one year ago. This is the largest January on-feed total since 2008.

The ongoing wildfires in Australia represent the latest in nearly a decade of environmental challenges the country has faced. This has prompted questions about the impact of the fires on Australian cattle and beef production and trade. This article was compiled from several Australian reports and other media and data sources.

As we wrap up 2018, it’s worth a moment to pause and consider the amazing day-to-day performance and accomplishments of the U.S. cattle and beef industry.