LUBBOCK, Texas (RFD NEWS) — Cull cow prices are entering 2026 at historically high levels, and while seasonal patterns suggest a mid-year rally is still possible, gains may be more modest than usual. That outlook comes from Dr. David Anderson, Texas A&M AgriLife Extension livestock economist, who says tight supplies remain the dominant factor supporting the market.
Cull cow prices typically soften in the fall as slaughter rises, but that pattern largely failed in late 2025. Southern Plains auction prices for 85–90 percent lean cows held near $163 per hundredweight from June through year-end. Nationally, cutter cow prices dipped seasonally but recovered most of those losses by December, even as cow beef cutout values declined more than 9 percent.
Slaughter trends help explain the resilience. Beef cow culling stayed exceptionally low in 2025, down more than 17 percent year over year, reflecting herd rebuilding efforts and a smaller cow inventory. Dairy cow slaughter increased modestly in the second half of the year as the U.S. dairy herd expanded to its largest size since the early 1990s.
Looking ahead, Anderson expects lean beef grinding supplies to remain tight, supporting prices into mid-year. While dairy cow culling could increase if milk prices weaken further, beef cow slaughter is likely to stay limited.
Farm-Level Takeaway: Tight beef cow supplies and steady demand point to continued record-level cull cow prices in 2026.
Tony St. James, RFD NEWS Markets Specialist
Farm CPA Paul Neiffer outlines the key difference between previous ECAP payments and the Farm Bridge Assistance Program.
December 19, 2025 01:56 PM
·
Cattle markets are watching the Cattle-on-Feed Report for signs of tighter supplies, while USMEF warns limited China access is cutting producer profits.
December 19, 2025 01:05 PM
·
Lower milk prices may pressure margins, but strong cattle values could soften near-term financial impacts.
December 19, 2025 12:50 PM
·
Record ethanol production, coupled with stronger demand, supports corn use despite tighter margins elsewhere.
December 18, 2025 02:32 PM
·
December 18, 2025 11:03 AM
December 17, 2025 10:45 AM
A new maritime biofuels coalition aims to position ocean shipping as a significant growth market for U.S. crops and waste-derived fuels.
December 17, 2025 07:00 AM
·
Larger operations maintain cost advantages, while softer equipment sales suggest producers are pacing machinery upgrades amid tighter margins.
December 17, 2025 06:00 AM
·
Analysts say that while low-income households are facing financial pressures, other middle- and higher-income consumers are helping fill the gap for retail beef demand.
December 16, 2025 12:44 PM
·