Key Takeaways:
Expected returns to production for U.S. cow-calf producers have shifted lower from prior forecasts as cattle values fall and feed costs rise. Producer revenues are forecast 4–5 percent below our July outlook and will be 3 percent below 2025 levels. Costs are quickly becoming a bigger concern relative to revenues as cost reductions presently lag the declines in cow-calf operation revenue. Despite the deterioration in expected margins, profits will still likely be just shy of 2025’s record-breaking levels and support strong financial conditions for the industry. That profitability should help boost beef heifer retention, which WPI now forecasts at 4.9 million head, up 4 percent from last year.
Detailed...
What You Need to Know Today: U.S. and Chinese officials are expected to discuss agriculture and non-tariff trade barriers ahead of Chinese President Xi Jinping’s visit to Washington later this month, potentially opening the door to additional U.S. agricultural purchases or improved marke...
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