Summer Weather Impacts Cattle, Markets, Now Time To Look Ahead

By Pat Lampert
Hot weather, state and country fairs, vacations and lower fat cattle money are the realities of late summer. With the Mexican border opening up in mid-August and the JBS packing plant closing August 14 , it has done a real number on fed cattle.

Five to six weeks ago, the extremely hot weather in the West and the Midwest caused cattle to drop like flies in feed lots. Because of that, feedlots were dumping cattle on the market and the market responded by also jumping lower. The June CME went off at the end of the month in the mid $250 range and native cattle brought $260. Because of the negative market realities, the August CME was at $229 and cash natives were $236 to $238.

Will it come back is the million dollar question. Numbers are still extremely tight, and if all the Mexican cattle come in tomorrow, it wouldn’t amount to a week and a half worth of kill. Packers held steady to lower the first week of August and cut back kills. Of course in the same breath, they begged for cattle. Now that makes a lot of sense, doesn’t it?

In retrospect, it’s getting back to some historical normalcy. Typically in June, July and August the fed market does take a ride south. Consumers are spending money on vacation, fairs and school clothes, not T-Bone steaks. Then, markets typically start moving back up by the end of September into October. But, the last couple of years that hasn’t been the case. August of 2025 was the high for fed cattle, so nothing has been normal.

The good news is that cull cow prices have been decent this summer because of summer grilling and hamburgers. And that should remain somewhat good for at least another month or two before the fall cattle runs.

I want to take this opportunity to thank our livestock staff for attending the All-Staff meeting in late July. We haven’t had one since before the pandemic, and it was great seeing everyone and providing several division updates. Our livestock only staff session yielded some great discussion, and we introduced some new features for them that will make their lives easier and more productive.

I do know with the CME money tanking and lower fed cattle prices, it is of utmost importance to know where your break even is on your cattle. Call your Nexus cattle representative and talk about our marketing strategies going into fall.