BREAKING: The average price of US ground beef rises +13% YoY in May to a record $7.06 per pound, with prices now up +58% since 2020. Steak prices surged +16% YoY to $12.80 per pound, the 2nd-highest on record. This comes as the US cattle herd has shrunk to its lowest in 75 years, with drought conditions, elevated production costs, and a New World screwworm outbreak in Texas limiting supply recovery. Meanwhile, nearly 80% of US cattle are currently located in areas facing dryness or drought, threatening to keep beef prices elevated well into 2027. American consumers are paying record prices for beef.(The Kobeissi Letter)