It was a very lofty week for live cattle futures, as February and April contracts crossed $200 per contract for the first time. Driven by tightening supplies and strong demand by consumers around the world, beef has seen exceptional price appreciation.
“Cash cattle markets traded above $200 average last week for the first time ever,” says Anne Wasko with the Gateway Livestock Exchange. “This has meant support for futures also now trading above $200. Solid beef demand and smaller Q1 fed supplies are the fundamentals behind the market.”

On January 24, the U.S. Cattle on Feed Report was released, showing 1.642 million cattle were placed into U.S. feedlots last month.
This is a three per cent decrease compared to the same time last year. This drop was below what analysts had expected, primarily due to a smaller number of cows and increased activity earlier in the year. In December, producers marketed 1.742 million cattle, a one per cent increase from the previous year, taking advantage of strong cash cattle prices. At the beginning of 2025, the total number of U.S. cattle on feed was 11.823 million head, down one per cent from the previous year.
This futures market has been one that even the most eager of short sellers will hesitate to step in front of. As the five-year chart shows (above), since the spring of 2020, live cattle futures have marched steadily higher from the sub-$100 level to over $200 this week.
According to Wasko, “The Alberta and Saskatchewan fed cattle market continued to strengthen this week, with dressed sales increasing by $5-8/cwt compared to the previous week, reaching $445-447/cwt delivered.” Canadian cattle feeders are current and have been actively marketing through December and into the new year. While December placements were strong, on-feed numbers in Western Canada remain lower to start 2025. The high marketing rate in December has contributed to the lighter carcass weights seen so far.
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