September Cattle on Feed Report Recap

The United States Department of Agriculture’s National Agricultural Statistics Service (USDA, NASS) released their monthly Cattle on Feed report Friday afternoon (September 23, 2016). The report revealed that 10.135 million head of cattle were in U.S. feedlots with a capacity of 1,000 head or larger on September 1, 2016. Placements into feedlots during the month of August totaled 1.879 million head while marketings during the same month totaled 1.868 million head.

[ … For detailed numbers and charts CLICK HERE … ]

Placements totaled 1.879 million head, an increase of 15.13% from August 2015 and a 0.14% increase from the five-year average from 2011 to 2015. Market analyst expected placements to be up 13.10%, so the reported value came in slightly above expectations. This month’s numbers continue the trend of increasing heavy placements, with cattle larger than 800 pounds seeing a 21.2% year-over-year increase while cattle less than 600 pounds saw an 8.9% year-over-year decrease in placements. All other weight classes saw an increase in placements.

Cattle marketed in August totaled 1.868 million head, up 17.63% versus last year and up 1.98% compared to the average from 2011 to 2015. Pre-report expectations called for marketings to be 17.5% higher than the same period last year, so they came in right where analysts anticipated they would be.

The total number of cattle in feedlots with 1,000 head or larger capacity totaled 10.135 million head, up 1.49% versus September 1, 2015 and 0.50% lower than the five-year average.  Market analysts expected a 1.2% year-over-year increase in cattle inventories, so the reported value came in slightly above expected but still well within the range of analysts’ expectations.