Market News & Headlines >> Tight U.S. Feedlot Inventory Expected
Friday’s monthly Cattle-on-Feed report from USDA is expected to show that supplies of cattle in U.S. feedlots remained historically tight as of Jan. 1 with active December feedlot marketings offsetting a year-over-year increase in placements of cattle on feed.
Trade estimates of the Jan. 1 U.S. feedlot inventory average 99.0% of a year earlier in a range from 98.4%-100.0%, according to a survey of 10 analysts by Reuters News Service.
Pre-report expectations for December feedlot placements average 108.4% of a year earlier in a range from 103.5%-113.6%, while expectations for December feedlot marketings average 106.7% of a year earlier in a range from 104.8%-109.2%.
If the Jan. 1 feedlot inventory matches the average of trade expectations, it would total 10.470 million head, down 105,000 head from a year earlier and would be the smallest for the date in 21 years, according to USDA data.
At the average of trade estimates, December feedlot placements would total 1.655 million head, 128,000 above a year earlier and would be the largest for the month in five years. December feedlot marketings at the average of trade estimates would total 1.787 million head, 113,000 above a year earlier and would be the largest for the month in six years.