Market News & Headlines >> Feedlot Placements, Marketings Seen Down
The trade expects Friday’s monthly USDA Cattle-on-Feed report to show that feedlot placements were down from a year earlier for the third straight month in October amid high live cattle price volatility.
However, the U.S. feedlot inventory as of Nov. 1 is still expected to be more than 2% larger than a year earlier amid continued slow feedlot marketings.
Trade estimates of October feedlot placements average 96.0% of a year earlier in a range from 93.8%-98.4%, according to a survey of 10 analysts by Reuters News Service. Pre-report estimates of the Nov. 1 feedlot inventory average 102.2% of a year earlier in a range from 101.6%-103.2%, while estimates of October feedlot marketings average 96.0% in a range from 95.0%-97.2%.
If the Nov. 1 feedlot inventory comes in at the average of trade estimates, it would total 10.804 million head, up 233,000 head from a year earlier and up 353,000 head from a month earlier.
At the average of trade estimates, October placements would total 2.273 million head, down 95,000 head from a year earlier, but up 342,000 head from September. If feedlot marketings match the average of expectations, they would total 1.618 million head, down 67,000 head from a year earlier and down 24,000 head from September.