# What really drives fed cattle prices?

> An explainer on drivers of fed cattle prices notes the USDA box beef cutout is the main driver, though its correlation with fed cattle prices has weakened in recent years. The piece describes how the cutout reflects wholesale values of boxed cuts reported under mandatory price reporting.

- Date: 2020-10-22 · published 2020-10-22T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/50760-what-really-drives-fed-cattle-prices
- Commodities: [Feeder Cattle](https://feedsoft.ai/c/FCATTLE.md), [Live Cattle](https://feedsoft.ai/c/LCATTLE.md)

## Why it matters

Understanding that the boxed beef cutout drives packer and feedlot bids helps buyers interpret cattle price moves, though the looser correlation makes forecasting less reliable.

## Read by commodity

- FCATTLE: neutral
- LCATTLE: neutral

## Sources

- beefmagazine.com: https://www.beefmagazine.com/cattle-pricing/what-really-drives-fed-cattle-prices-

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.