In The Cattle Markets
Contributing Organizations
June 8, 2026
Matthew Diersen, Ph.D.
Risk & Business Management Specialist
Ness School of Management & Economics
South Dakota State University
Ripple Effects of Screwworm Concerns
New World Screwworm has been dominating the headlines for the past week. The USDA has established a dashboard to show the impacts in the U.S. The cases so far have been isolated in Texas. The broader implications are the cases in Mexico, the continued closed border to imports of feeder cattle for Mexico, and the high demand for beef that is difficult to meet in isolation.
Cattle imports from Mexico have been restricted since July of 2025, and the impact has been more pronounced on states along the border. There are cattle feedlots from Texas to California that would be destinations for feeder cattle imported from Mexico. In May, the U.S. cattle on feed total was at 99% of its prior five-year average. However, in Texas and California the on-feed totals were at 93% of their prior five-year average. In Arizona, the number on feed was only 84% of its prior five-year average. New Mexico is not included in Cattle on Feed reports and had 46,522 head on feed in the 2022 Census of Agriculture. Thus, feedlots in these states have an outsized effect from the restricted trade.
Texas is not an isolated cattle state. Texas has the largest calf crop of any state in the U.S., predominantly from beef cattle. Texas is also a major feedlot state, with inventory levels at the top like Kansas and Nebraska. The feedlots are large as there is little inventory in feedlots with less than 1,000 head. Kansas and Nebraska are more likely to be unidirectional for cattle movement as calves enter those states to be finished. In 2025, Texas ranked third among states with cattle inshipments of 1.8 million head. That figure is a net number, inflows minus outflows. In 2025 Texas had about 5.5 million head marketed as cattle and calves. Marketings by feedlots were only about 4.1 million head during 2025, implying a fair number of cattle left Texas for other states. Producers in many states east of Texas send cattle to Texas. Producers in Texas send cattle north to other states with feedlots and to Canada.
Year-to-date imports of cattle from Canada are below the levels in 2025. Through May 23, 2026, there were 49,810 head of feeder cattle and 188,843 head of slaughter steers, heifers, and cows imported. Higher imports may be expected given the higher U.S. beef prices. Cattle on feed volumes in Canada are higher than year-ago levels. Perhaps imports have been slow to avoid competing with beef imports from Brazil early in the year.
The Markets
The cash market was steady for fed cattle and for boxed beef last week. The futures for live cattle and feeder cattle were slightly higher for the week. The realization of dealing with the higher costs of screwworm seems to have been factored in prices. Cash prices for feeders were mixed across weights and locations. Cash corn was sharply lower for the week.
| Week of 6/5/26 | Week of 5/29/26 | Week of 6/6/25 | ||
| 5-Area Fed Steer | all grades, live weight, $/cwt | $256.53 | $256.86 | $236.62 |
| all grades, dressed weight, $/cwt | $404.66 | $405.19 | $380.34 | |
| Boxed Beef | Choice Value, 600-900 lb., $/cwt | $393.62 | $392.85 | $365.71 |
| Choice-Select Spread, $/cwt | $10.01 | $5.76 | $8.77 | |
| 700-800 lb. Feeder Steer | Montana 3-market, $/cwt | $415.46 | $412.00 | $315.04 |
| Nebraska 7-market, $/cwt | $408.02 | $416.64 | $342.28 | |
| Oklahoma 8-market, $/cwt | $368.93 | $379.47 | $315.10 | |
| 500-600 lb. Feeder Steer | Montana 3-market, $/cwt | $514.96 | $525.00 | $365.00 |
| Nebraska 7-market, $/cwt | $528.35 | $500.49 | $416.07 | |
| Oklahoma 8-market, $/cwt | $452.38 | $483.81 | $377.60 | |
| Feed Grains | Corn, Omaha, NE, $/bu (Thursday) | $4.15 | $4.43 | $4.40 |
| DDGS, Nebraska, $/ton | $175.71 | $179.00 | $149.33 | |
Data Source: USDA-AMS Market News as compiled by LMIC
