On Friday, the cattle market faced significant challenges, closing at the day’s lowest prices. This downturn was largely due to ongoing sell-offs as rumors circulated about workers at the JBS plant in Greeley, Colorado, planning a strike. They’ve indicated that they plan to notify JBS of their intentions next week. While I haven’t seen an official announcement, it seems to be a hot topic among those I talk to. The workers have voiced multiple concerns, not just salary-related; reports indicate safety issues at the plant with many injuries occurring. Negotiations have been stalling for months, and there seems to be little hope for resolution without a strike. The Greeley facility is a key player, potentially the largest beef feed plant in the U.S. A strike here could exacerbate the situation, particularly as the Tyson plant is also shutting down and other locations are slowing down. This would likely tighten beef supplies and push prices, which are already high, even higher.
Producers are understandably worried about the continuous drop in futures prices and have pulled back on bids, impacting the market. Last week, cash prices dropped to an average of 246.91, aligning with the previous week’s peak of 249.00 for live cattle. Dress prices have also surged, reaching an all-time high of 394.00. Normally, after consecutive records, cash prices might see a recovery, but the current market uncertainty complicates this. Despite this, slaughter operations are still happening, though the number being processed has been tapering off week by week, with an expected total of 516,000 animals for the second consecutive week. It seems the reduction in slaughter numbers is linked to the declining cattle supply. Interestingly, packers appear to be using the narrative of lower capacity to drive prices down without actually cutting back on output.
Looking at the numbers, the feeder cattle index, as of February 26, 2026, stands at 372.79. In terms of boxed beef, choice cutouts increased slightly to 379.77 while the select cutout rose to 374.25. The disparity between the two has narrowed to 5.52 with a total of 73 loads recorded.
On Friday, the estimated slaughter count was about 86,000, a decrease from 89,000 the week prior and significantly lower than last year’s 107,210. The expected culled animals for Saturday is around 3,000, which is up from last week’s zero. This week’s overall slaughter so far mirrors last week at 516,000, but it’s below last year’s total of 568,747.
The USDA report indicates that trading in the Texas Panhandle has been moderate but sees live prices dropping about $5.00 from last week to around 244.00. In Kansas and Nebraska, cash deals haven’t established a solid market test but have been noted between 239.00 and 244.00. The last established dressed market was recorded at 383.00. In the Western Corn Belt, live buying is stable but was seen $3.00 lower, while the previous dressed market was at 388.00.
Current live cattle cash transactions are between 239.00-245.00, and 378.00-384.00 for dressed. This week’s developments in the market certainly raise questions, and as always, it’s essential for producers to consider all factors in their strategy moving forward.
