Market News & Headlines >> Feedlot Placements, Marketings Seen Up

The livestock trade expects Friday’s USDA Cattle-on-Feed report to show placements of cattle in U.S. feedlots exceeded a year earlier for the eleventh straight month amid the severe drought in the southwestern Plains. 

Estimates of January feedlot placements average 100.8% of a year earlier in a range from 97.7%-102.9%, according to a survey of nine analysts by Dow Jones Newswires. At the average of analysts’ expectations, January placements would total 1.997 million head and would be the largest for the month in four years. 

USDA is expected to report that feedlot marketings recovered in January after slipping below a year earlier for the first time in 17 months. Trade estimates of January feedlot marketings average 105.9% of a year earlier in a range from 105.5%-106.2%. At the average of trade estimates, January marketings would total 1.854 million head and would be the largest for the month in five years. 

Pre-report estimates of the Feb. 1 U.S. feedlot inventory average 107.4% of a year earlier in a range from 106.8%-108.5%. At the average of trade estimates, the Feb. 1 feedlot inventory would total 11.580 million head and would be the largest for the date in six years.