Market News & Headlines >> Feedlot Placements Seen up for Fourth Straight Month
Friday afternoon’s monthly USDA Cattle-on-Feed report is expected to show that placements of cattle into U.S. feedlots exceeded a year earlier for the fourth straight month in June, pushing July 1 feedlot inventory nearly 3% above a year earlier.
Trade estimates of June feedlot placements average 106.1% of a year earlier in a range from 103.1%-108.2%, according to a survey of 10 analysts by Reuters News Service. June placements are expected to be up even after three straight months of larger-than-expected placements, which should have pared down the supply of feeder cattle.
At the average of trade estimates, June placements would total 1.618 million head, 93,000 larger than a year earlier and the largest for the month in five years.
Pre-report expectations for the July 1 feedlot inventory average 102.9% of a year earlier in a range from 102.1%-103.7%. At the average of trade estimates, the July 1 feedlot inventory would be 10.657 million head, up 301 million from a year earlier and the largest for the date in five years.
Trade expectations for June feedlot marketings average 104.7% of a year earlier in a range from 104.1%-105.2%. June should be the eleventh consecutive month of year-over-year increases in marketings. At the average of trade expectations, June marketings would equal 2.002 million head, up 90,000 head from a year earlier and the largest for the month in six years.