DAILY CATTLE MARKET BRIEFING
January 8, 2026
MARKET SENTIMENT: Moderately Bullish (7/10)
- Market regaining momentum after late 2025 pullback
- Strong fundamentals supporting prices despite near-term volatility
- Tight supplies and robust demand providing price support
KEY PRICE TRENDS:
- Fed cattle: $231-232/cwt in cash trade
- Choice cutout: $354.28, up $3.03
- Select cutout: $349.28, down $1.80
- Feeder cattle futures hit highest levels since October
- Live cattle futures stable near multi-month highs
TOP 3 NEW DEVELOPMENTS:
1. Brazil overtakes US as world's largest beef producer, easing global supply pressure
2. China implements new beef import quota system, creating uncertainty for Brazil exports
3. Continued Mexican screwworm cases delaying border reopening for cattle imports
OUTLOOK:
Ranchers should expect continued strong prices supported by:
- Historically tight US cattle supplies
- Reduced Mexican imports due to ongoing screwworm issues
- Robust domestic and export demand
- Processing margins remain deeply negative ($260+/head losses)
- Some pressure possible from increased Brazilian production
Caution warranted around:
- China's new quota system impact on global trade flows
- Large show lists this week testing packer buying appetite
- Continued volatility in futures markets
- Potential margin compression at high price levels
Monitor placement trends and basis levels closely as the market seeks equilibrium at these historically high price points.
January 8, 2026
MARKET SENTIMENT: Moderately Bullish (7/10)
- Market regaining momentum after late 2025 pullback
- Strong fundamentals supporting prices despite near-term volatility
- Tight supplies and robust demand providing price support
KEY PRICE TRENDS:
- Fed cattle: $231-232/cwt in cash trade
- Choice cutout: $354.28, up $3.03
- Select cutout: $349.28, down $1.80
- Feeder cattle futures hit highest levels since October
- Live cattle futures stable near multi-month highs
TOP 3 NEW DEVELOPMENTS:
1. Brazil overtakes US as world's largest beef producer, easing global supply pressure
2. China implements new beef import quota system, creating uncertainty for Brazil exports
3. Continued Mexican screwworm cases delaying border reopening for cattle imports
OUTLOOK:
Ranchers should expect continued strong prices supported by:
- Historically tight US cattle supplies
- Reduced Mexican imports due to ongoing screwworm issues
- Robust domestic and export demand
- Processing margins remain deeply negative ($260+/head losses)
- Some pressure possible from increased Brazilian production
Caution warranted around:
- China's new quota system impact on global trade flows
- Large show lists this week testing packer buying appetite
- Continued volatility in futures markets
- Potential margin compression at high price levels
Monitor placement trends and basis levels closely as the market seeks equilibrium at these historically high price points.
For more detailed information or specific market data, please contact your local extension office or market analyst.