# Drop in feeder cattle prices could slow herd expansion

> Oklahoma State extension specialist Derrell Peel says the rapid and harsh drop in feeder cattle prices in 2016 raises questions about herd expansion. Beef cow culling has not returned to normal and 2016 cow slaughter is consistent with only modest herd growth.

- Date: 2016-11-07 · published 2016-11-07T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/73975-drop-in-feeder-cattle-prices-could-slow-herd-expansion
- Commodities: [Feeder Cattle](https://feedsoft.ai/c/FCATTLE.md), [Live Cattle](https://feedsoft.ai/c/LCATTLE.md)

## Why it matters

Slower herd rebuilding can tighten feeder supplies later, which supports future feeder cattle prices, while the current slide cuts producer margins. Lower cattle prices also reduce demand for feed grains and byproducts used in feedlots.

## Read by commodity

- FCATTLE: bearish ▼
- LCATTLE: neutral

## Sources

- iowafarmbureau.com: https://www.iowafarmbureau.com/Article/Drop-in-feeder-cattle-prices-could-slow-herd-expansion

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