Indicators measuring America’s beef economy increased slightly during September, with gains in key cattle prices, production costs, and performance and margins leading the way. Key cattle prices saw a $2 gain in fed, cattle prices and nearly a $1 gain in feeder steer prices. Production costs improved slightly in August and September after a significant improvement in July. Cash corn prices rebounded from July’s 18 percent decline, but the steer-corn ratio still improved as fed-cattle prices increased. Cattle feeders saw closeout margins improve significantly, but closeouts still recorded estimated losses of $15 per head during September. Packer margins declined substantially during September. Packers recorded average profits of more than $8 per head during August, but saw that margin erode to a negative $41 per head during September. Tight cattle supplies should help support live cattle prices during the months ahead, yet grain prices may continue to squeeze profit margins.