Cattle on Feed: A Reason To Stop The Slide?

 
Cattle on Feed: A Reason To Stop The Slide?

Compared to pre-release estimates, USDA’s monthly cattle on feed report carried a neutral to bullish tone. The total count was 10.7 million cattle on feed, 1% more than a year ago. The bullish note was placements during December were just 1.54 million head, down 8% from a year ago, and 3.4% below what analysts expected. December marketings were slightly negative, totaling 1.66 million head, down 5% from the previous year, and 0.5% below expectations.

While the placement numbers were positive, both cash and futures prices have come under extreme pressure the past few weeks, and few analysts expect the COF numbers will provide an immediate turnaround.

However, analysts believe the report could provide some short-covering for the market on Monday, and given the sharply oversold condition of live and feeder cattle futures, traders could use the report as a "reason" to stop aggressively selling futures.

The inventory included 6.94 million steers and steer calves, up 2% from 2014, and that group accounts for 65% of the total inventory. Heifers and heifer calves account for 3.67 million head, down 2% from last year.

Live cattle traded mostly $4 lower at $160 per cwt. with a few up to $162 per cwt. Cattle on a dressed basis sold at $256 to $257 per cwt. Feeder cattle traded $3 to $10 lower. 

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Comments

 
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derek
sd, GA
10/14/2015 07:50 PM
 

  Hamza Very good info on http://nourishtheplanet.com/2015/05/5-ways-to-cut-your-cattle-feed-cost/

 
 
Tom
Basalt, CO
6/24/2016 09:36 PM
 

  Did you get numbers as below?? Cattle and calves on feed for the slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 10.8 million head on June 1, 2016. The inventory was 2 percent above June 1, 2015. Placements in feedlots during May totaled 1.88 million head, 10 percent above 2015. Net placements were 1.81 million head. During May, placements of cattle and calves weighing less than 600 pounds were 305,000 head, 600-699 pounds were 250,000 head, 700-799 pounds were 479,000 head, and 800 pounds and greater were 850,000 head. Marketings of fed cattle during May totaled 1.79 million head, 5 percent above 2015.

 
 
Tom
Basalt, CO
6/24/2016 09:33 PM
 

  Did you get the correct numbers?? Cattle and calves on feed for the slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 10.8 million head on June 1, 2016. The inventory was 2 percent above June 1, 2015. Placements in feedlots during May totaled 1.88 million head, 10 percent above 2015. Net placements were 1.81 million head. During May, placements of cattle and calves weighing less than 600 pounds were 305,000 head, 600-699 pounds were 250,000 head, 700-799 pounds were 479,000 head, and 800 pounds and greater were 850,000 head. Marketings of fed cattle during May totaled 1.79 million head, 5 percent above 2015.

 
 

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