News

USDA: cattle placements down 2%

The USDA says placements of cattle into feedlots were down in July, the third month in a row with a decrease.

At 1.705 million head, that’s down 2% on the year, with concerns about profitability and tighter supplies of replacement feeders. Most of the placements were middleweight, between 700 and 900 pounds, and will be marketed from January through April. By weight, placements of cattle weighing less than 600 pounds were 360,000 head, 600 to 699 pound placements were 260,000 head, and placements of cattle weighing 700 to 799 pounds were 410,000 head, while the 800 to 899 pound category accounted for 385,000 head, 900 to 999 pound placements were 200,000 head, and placements of cattle weighing 1,000 pounds and heavier were 90,000 head.

Marketings for July were up 7% at 2.002 million head, and the total number of cattle on feed on August 1st was 11.112 million head, the largest inventory for the month on record, fractionally higher than a year ago. Other disappearances were 71,000 head, a jump of 13%.

The numbers look mostly neutral to a little bullish because of the placement number.