Ag economist expects cattle markets to face another year of volatility - Brownfield Ag News

Ag economist expects cattle markets to face another year of volatility – Brownfield Ag News

By Harry Ward

**Cattle Markets Anticipate Continued Volatility in 2026**

As the cattle industry heads into 2026, experts are predicting another year of significant fluctuations in the cattle markets. Derrell Peel, a livestock economist from Oklahoma State University, has shared insights on the expected market dynamics, particularly concerning the resumption of live cattle imports from Mexico.

Peel notes that the futures market is likely to react negatively when the U.S. begins importing live cattle again after a year-long suspension due to concerns over the New World screwworm. Although there have been no cases of this pest detected in the U.S., the closure has created uncertainty in the market.

Key points from Peel’s analysis include:

– **Market Reactions**: Initial negative reactions in the futures market are expected when imports resume, but these may stabilize as the process unfolds.
– **Slow Reopening**: The return of cattle imports will be gradual, limiting the number of animals entering the U.S. market.
– **No Backlog**: There is currently no backlog of cattle waiting to cross the border; the cattle that would have been imported are being utilized within the Mexican market.

Peel emphasizes that while the reopening of the border will bring some relief, it will not immediately restore cattle numbers to previous levels. The USDA is actively monitoring the situation and providing updates on the New World screwworm at [screwworm.gov](http://www.screwworm.gov).

**Key Takeaways:**
– Cattle markets are expected to experience volatility in 2026.
– Initial negative reactions in futures markets are anticipated upon the resumption of cattle imports from Mexico.
– The reopening process will be gradual, with no backlog of cattle waiting to enter the U.S.

For more detailed information, visit the original article on Brownfield Ag News [here](https://www.brownfieldagnews.com/news/ag-economist-expects-cattle-markets-to-face-another-year-of-volatility/).