Cattle producers continue to favor selling over holding back heifers, slowing efforts to rebuild the U.S. herd.
Despite near-record prices, many producers are choosing immediate returns instead of retaining replacement females. Strong feeder markets are making it hard to pass up current opportunities.
At the same time, feed costs, pasture conditions and risk management concerns are all factoring into the decision.
While beef cow slaughter has declined, signaling liquidation may be over, meaningful herd expansion has yet to begin.
That keeps supplies tight and supports prices, but also limits future production growth heading into the next several years.