Despite the challenges facing the industry at the beginning of the third quarter, the beef industry has processed more fed cattle in third-quarter 2020 than the previous year.

U.S. global meat protein exports have continued to evolve in 2020. Some of the changes this year reflect ongoing trends in global meat markets, but the COVID-19 pandemic has also affected protein trade.

Feed grain and oilseed prices have undergone some dramatic changes over the past couple of months. These changes are indicative of changes to underlying fundamentals in those markets and will impact the value of feeder cattle and calf prices well into next year. It is worth examining the changes to crop market conditions and thinking about possible prices.

Packers continue to make gains on processing of fed cattle post-COVID-19 plant disruptions in the second quarter.

Feeder cattle markets have displayed very dynamic movements this fall that have implications for cow-calf and stocker producers.

A large winter storm is advancing across the central U.S. bringing cold temperatures and some much-needed moisture. Oklahoma is expected to see a first freeze and precipitation ranging from rain to freezing rain to ice to snow through midweek. Farther north and west, snow and cold are blanketing much of the Rocky Mountain and Plains regions. Fluctuating temperatures and cold, wet conditions add additional stress and health challenges for cattle, particularly for weaning calves and receiving stockers and feedlot cattle.

Packers continue to make gains on the processing of fed cattle. Based on USDA Agricultural Marketing Service (AMS) data for actual and estimated slaughter of steers and heifers in August, the pace of fed cattle slaughtered appears to have risen above year-ago levels for the first time since March (see Figure 1).

When the COVID-19 pandemic first ignited a global shutdown earlier this year, U.S. ranchers experienced a livestock backlog of monumental proportions. As global trade stalled to mitigate spread of the virus, consolidation of slaughterhouses exacerbated production bottlenecks as virus hotspots emerged within our nation’s major meat processing plants.