Livestock Marketing Information Center
In The Cattle Markets
Updated: 4/21/2026
Feedlot Margins – Ongoing Monitoring and Pencil Sharpening are Warrented
recirculation on April 21, 2026, given update to calculations
As 2026 continues to progress, it is useful to pause and assess margins in the beef-cattle industry. Recently, the KSU Cattle Feeding Returns estimates were updated, providing the latest insight into margin patterns in the feedlot sector.
Livestock Monitor
Updated: 4/24/2026
CATTLE MARKET DISCUSSION
The April 1 Cattle on Feed report released by USDA-NASS was in line with pre-report expectations and continues to highlight tight cattle supplies. To recap, cattle on feed was reported at just under 11.6 million head, down 62,000 head, or less than one percent (-0.5%) from last year. Analysts were expecting a decline of -0.3% from last year. Cattle marketings in March were down 95,000 head (-7.3%) from last year to 1.6 million, which was within the range of pre-report estimates but slightly lower than the average pre-report estimate, which was expecting a decline of -6.7%.
RED MEAT AND POULTRY STOCKS LOWER IN MARCH
USDA-NASS reported lower cold storage stocks for red meat, falling 16 million pounds (-2%) to 838 million pounds in March. The decline was driven by a 13-million-pound (-2%) decline in total beef stocks to 411 million pounds. In March, boneless beef and beef cuts decreased from the previous year by 13 and 1 million pounds, respectively, to 374 and 37 million pounds. Lamb and mutton stocks were 16 million pounds in March, down 3 million pounds (-15%) from last year. Pork in cold storage increased fractionally in March by 2 million pounds (+0.4%) to 411 million pounds. As the summer grilling season approaches, demand typically strengthens, which often leads to red meat stocks moving seasonally lower.
DAIRY HERD EXPANSION CONTINUES BUT PACE SLOWS IN LAST TWO MONTHS
Eight thousand cows were added to the dairy herd in March following a 6,000-cow addition in February and a 41,000-head add in January. As of March, the dairy cow herd had expanded by +2% from a year earlier, and milk production in the first quarter of 2026 was up by +2.9% from the first quarter of 2025. The All Milk price reported by USDA-NASS for the first two months of 2026 is $17.90 per cwt. Milk and dairy product prices in general were rising in March, so the first quarter average for the All-Milk Price should be about $18.60 per cwt, which would be down $4-$5 per cwt from the first quarter of 2025.
Livestock Monitor (pdf)