Live Cattle Futures Hold Near All-Time Highs as China Renews Licenses. 5/18/26

Why It Matters

China’s renewal of export licenses has reinvigorated U.S. beef pricing and kept live cattle near record levels, supporting packer margins and feeder demand; however, the quick fade in gains and softer hogs underline lingering market volatility and selective strength across the complex.

Summary

Live cattle futures opened firmer after China renewed export licenses for U.S. beef plants, underpinning prices and keeping contracts near all-time highs, though gains faded into the close. August live cattle jumped as much as $2.05 to 249.97 before settling near unchanged; June peaked at 255.77. Feeder cattle were mixed amid tight packer buying and strong demand, with August down to 358.20 and September 355.72; reported spreads for feeders and live cattle were roughly 18% and 16.5% respectively. Lean hog futures weakened, trading both sides of unchanged and ending modestly lower (July down $0.53 to 102.82), with a reported 20% spread for hogs.

Original Description

Today's livestock markets saw varied price action across the board. Live Cattle futures traded firmly after China renewed export licenses for beef plants, helping the market hold near all-time highs despite an intraday sell-off. Feeder Cattle futures ended mixed as packers remain short bought amid strong ongoing demand, resulting in a sideways trend over the past week. Meanwhile, Lean Hog futures closed lower as an early rally fizzled out, leaving the market struggling to find solid support levels and ultimately closing lower for the session.

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