TAGS: Marketing, Overseas
December 18, 2014
Traders did a good job of anticipating this afternoon's USDA Cattle on Feed Report, as all categories came in near traders' pre-report expectations. The report showed On Feed at 95%, Placements at 87% and Marketings at 103% of year-ago levels. The report reflects traders' expectations that producers worked to get feedlots current, which should translate into smaller marketings in next month's report.
|
COF Report
|
USDA
|
Average
|
Range
|
|
|
|
On Feed
|
|
94.6
|
93.5-96.0
|
|
Placements
|
87
|
87.3
|
83.3-92.0
|
|
Marketings
|
|
102.6
|
100.8-103.5
|
The weight breakdown of placements shows calves 600 lbs. and lighter down 19%, 600-699 lbs. down 14.4%, 700-799 lbs. down 10.7%, and 800 lbs. and heavier down 2.6% from last month.
The report should get a neutral read by the market, but is supportive for deferred futures as it once again reminds traders of the tightening supply situation.