U.S. livestock: Cattle futures sink on concerns over Trump's push to lower prices

Chicago | Reuters – U.S. cattle futures tumbled on Monday, extending a steep slide after President Donald Trump complained final week that costs had been too excessive.

Merchants mentioned they had been more and more anticipating that Trump’s administration will encourage extra imports of beef and cattle in a bid to offset tight U.S. provides and convey down costs for shoppers.

U.S. beef costs hit data this 12 months as output declined and shopper demand remained robust. Manufacturing suffered after a years-long drought within the western U.S. burned up pasture lands used for grazing and raised feeding prices, forcing ranchers to scale back their cattle herds to the bottom ranges in a long time.

U.S. grains: Soy hits four-month high on hopes for China trade deal

U.S. soybean futures jumped to their highest level in more than four months on Monday on hopes that China will resume buying American supplies after President Donald Trump said the countries were set to reach a trade deal during his trip to Asia this week.

“This market is pricing in the concept the entire 2026 U.S. beef decline might be offset,” mentioned Wealthy Nelson, chief strategist for brokerage Allendale.

Most-traded December dwell cattle closed at 227.175 cents a pound, down 6.750 cents. February dwell cattle settled at 224.000 cents per pound, down 9.425 cents.

Most-active January feeder contracts closed down 13.750 cents at 334.425 cents per pound. November contracts settled at 338.450 cents per pound, down 13.750 cents.

The change briefly widened the markets’ day by day buying and selling limits final week after futures sank.

Final week, Trump urged cattle ranchers to decrease costs, whereas infuriating them with a plan to quadruple the nation’s low-tariff imports of Argentine beef. Ranchers mentioned elevated imports threaten their livelihoods and that Trump ought to assist demand for U.S. merchandise.

Merchants mentioned they thought Trump could subsequent dial again tariffs on Brazilian items, together with beef, after a gathering on Sunday with Brazil’s President Luiz Inacio Lula da Silva. Trump imposed 50% tariffs on Brazilian merchandise in August, slowing U.S. imports of beef from the world’s largest exporter.

“Early final week, we’d have anticipated no elimination of the tariffs in opposition to Brazilian merchandise,” Nelson mentioned. “Now that’s very doable.”

This week, Mexico’s agriculture minister is predicted to journey to Washington with the purpose of reaching an settlement on reopening the border to Mexican cattle. Since Could, Washington has largely blocked imports of Mexican cattle to maintain out a fresh-eating parasite known as New World screwworm, additional tightening U.S. provides.

Alternative boxed beef ended the afternoon at $377.88 per cwt, up $2.12. Choose boxed beef was valued at $361.66 per cwt, up $3.69, the USDA reported.

Lean hog futures closed barely down. Most-traded December contracts closed at 81.500 cents a pound, down 0.400 cents. February futures settled at 83.400 cents a pound, down 0.900 cents.

The USDA put pork carcass cutout worth at $101.08 per cwt, down $1.66.

-With recordsdata from Glacier FarmMedia