Cattle Market Hits Historic Highs as Feeder Prices Surge

Feeder cattle in a pen as the market experiences historic highs, driven by a surge in feeder prices.

Northeast Radio SD News – South Dakota - The cattle market showed remarkable strength this week, headlined by a record-breaking performance in the CME Feeder Cattle Index and broad gains across the feeder and stocker categories. Despite a slight dip in overall meat production, the industry continues to see aggressive pricing compared to both last month and year-over-year averages.

Record-Breaking Feeder Performance

The CME Feeder Cattle Index reached a historic milestone on February 19, peaking at 377.37, a significant jump from the 278.84 seen during the same period last year. National average feeder steer prices followed suit, climbing to 382.30, up 3.01 from last week.

Stocker steers also saw healthy gains, with the national average rising 3.84 to settle at 479.57. This represents a staggering increase of nearly 140.00 per hundredweight compared to the previous year’s average of 339.65.

Fed Cattle and Carcass Data

While the feeder market surged, the fed cattle trade remained mostly steady.

·         Southern Plains: Held steady at 248.00.

·         Northern Plains: Held steady at 246.00.

Live Cattle futures also reflected a positive outlook, closing between 1.37 and 3.50 higher in the front three months. Interestingly, USDA data shows that steer carcass weights have plateaued at an average of 981 lbs., matching last week’s figures but remaining significantly heavier than the 951 lbs. recorded a year ago.

Boxed Beef and Production Trends

The Boxed Beef Cutout presented a mixed bag this week. The Choice cutout rose 2.33 to 366.70, while the Select cutout dipped 2.68 to 360.74. This divergence widened the Choice/Select spread significantly to 5.96.

On the supply side, the USDA Marketing Service reported a tightening of available meat:

·         Total Red Meat Production: Estimated at 1013.9 million lbs.

·         Weekly Change: Down 1.9% from last week.

·         Yearly Change: Down 2.1% from 2025.

·         Year-to-Date: Cumulative production is currently 4.7% lower than the previous year, suggesting a continued trend of tighter supplies supporting the higher price floor.

Summary Table: Weekly Market Snapshot

Category	Current Price	Last Year	5-Year Avg
Feeder Steers (Avg)	382.30	275.78	226.95
Stocker Steers (Avg)	479.57	339.65	270.16
CME Feeder Index	377.37*	278.84	224.45
Choice Cutout	366.70	310.77	304.77
*Historic High reached 2/19/26

In the grain sector, corn provided a small relief for feeders as May futures closed slightly lower at 4.3975. As the industry approaches the end of February, all eyes remain on whether the feeder index can maintain its record-breaking momentum amid declining total production.

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