Market News & Headlines >> Feedlot Placements, Marketings Seen Down (1)
Friday afternoon’s USDA Cattle-on-Feed report is expected to peg the Jan. 1 feedlot inventory 7.7% above a year earlier, and show both December feedlot placements and feedlot marketings slightly below a year earlier.
Pre-report trade estimates of the Jan. 1 U.S. feedlot inventory average 107.7% of a year earlier in a range from 107.2%-108.1%, while estimates of December placements average 96.9% of a year earlier in a range from 93.3%-100.3% and estimates of December marketings average 98.8% in a range from 97.9%-100.3%.
At the average of trade estimates, the Jan. 1 U.S. feedlot inventory would be 11.420 million head, down 96,000 from a month earlier, but 815,000 head larger than a year earlier and the largest for the date in six years.
If December feedlot placements come in below a year earlier, it would be the first year-over-year decline in monthly placements in 10 months. At the average of trade estimates, December placements would equal 1.730 million head, 55,000 below a year earlier.
If December marketings come in below a year earlier, it would be the first decline in monthly marketings in 16 months. December marketings at the average of trade estimates would be 1.755 million head, 22,000 head below a year earlier.