Indicators measuring America’s beef economy decreased again during January, with declines in key cattle prices, production costs, and performance and margins leading the way. Key cattle prices were modestly lower during January, earning a down arrow. Production costs earned a down arrow as corn prices increased substantially and the steer-corn ratio dropped below 20 for the first time in several years. (The steer-corn ratio is the number of bushels of corn necessary to equal the dollar value of one hundredweight of fed steer.) Cattle feeders saw margins erode significantly from losses that averaged about $70 per head during December to losses nearing $100 per head during January, keeping the arrow pointing lower. Packer margins, still in the red, earned an up arrow as average margins improved from losses of $61 per head in December to losses of about $20 per head in January. Production indicators earned a down arrow as the number of cattle on feed reached record levels, suggesting increasing supplies of beef in the coming months.