Cattle Supply Update

Published on: 11:00AM Feb 23, 2009
On Friday the USDA estimated that the February 1st cattle on feed inventory was 5.7% less than last year and the smallest for the month since 2004.  Cattle placements into feedlots during January were 4% larger than the prior year.  The March 1st near slaughter ready cattle supply is estimated to be 9% less than the 3 year average which suggests that beef production should continue to trend below year ago levels next month.  As reflected by the chart below, slaughter ready cattle supplies are anticipated to remain tight through the spring.  That being said, even with the lesser supply of slaughter ready cattle, existing cattle supplies appear to be more than adequate to meet current demand.  We can help you contract, forecast and execute commodity contracts and futures.  If you would like to learn more please feel free to give us a call at the number below.  Thank you for your business.
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