Beef's traditional summer slump is evident in Drovers' index of economic indicators. Just two positive arrows appear this month, as prices and margins decline. Key cattle prices earned an up arrow on slight gains for feeder steers and carcass prices, even though calf prices were down. Production costs, with low corn prices and a high steer-corn ratio, remains a strong positive arrow. Retail prices, packer margins and the inventory watch all held steady during the past month. Three down arrows are found in the indicators for beef production, performance and margins, and competitive meats. The beef market will likely remain sluggish through July as cattle supplies remain seasonally large.