Market News & Headlines >> Record Large March Feedlot Placements
Friday afternoon’s monthly Cattle-on-Feed report from USDA was bearish for prices as it showed record large March feedlot placements and the largest April 1 feedlot inventory in six years despite active March feedlot marketings.
USDA pegged the April 1 feedlot inventory at 10.904 million head or 100.5% of a year earlier compared with trade estimates that averaged 99.7% of a year earlier in a range from 98.7-100.5%, according to a Reuters News Service survey of 10 analysts. The feedlot inventory was 82,000 head above the average of trade estimates and 51,000 head above a year earlier. The April 1 feedlot inventory was the largest since 2011.
March feedlot placements of 2.102 million head were a record high for the month in the current USDA data series going back to 1996 and were 111.1% of a year earlier. In actual numbers, placements were 110,000 head larger than a year earlier.
Feedlot marketings of 1.914 million head were the largest in 6 years and were 109.6% of a year earlier. The April 1 feedlot inventory at 10.904 million head was the largest in 6 years and was 100.5% of a year earlier. The feedlot inventory was at the high end of the range of trade estimates.