Cattle Prices Struggle but Get Some Bullish USDA Data; Lean Hog Prices Mired at 12-Month Low

Cattle prices faced challenges on Friday, as live cattle (LEV26) futures fell $0.075 to $217.925 and dropped to an eight-month low. September feeder cattle (GFU26) also hit an eight-month low, rising $0.10 to $329.025. Cattle futures traders were surprised by news that President Donald Trump would permit up to 300,000 MT of ground beef imports without affecting tariff quotas.

The USDA reported lower cash cattle trading and a higher inventory of cattle on feed for the slaughter market in the U.S. Cattle placements in July were the lowest since 1996, and marketings of fed cattle were also the lowest. Lean hog prices plummeted to a 12-month low, with October hogs down $0.65 to $80.875. Short coverings followed recent losses, and prices remain trapped in a downtrend. The cash hog market is trending down due to increasing slaughter numbers.