News

Cattle placements up again

The USDA says producers continued their aggressive placement on cattle onto feed during September 2017. At 2.150 million head, the total was up 13% from the record low placements figure from September 2016. Pasture conditions have declined in many key U.S. feeding areas, but feed costs remain relatively cheap, and placements have been up on the year ten out of the last eleven months.

By weight, placement of cattle weighing less than 600 pounds were 405,000 head, placements of cattle weighing 600 to 699 pounds were 340,000 head, and 700 to 799 pound placements were 490,000 head, while placements of cattle weighing 800 to 899 pounds were 515,000 head, 900 to 999 pound placements were 285,000 head, and placements of cattle weighing 1,000 pounds and up were 115,000 head.

Marketings were 3% higher at 1.783 million head, and the total number of cattle on feed as of October 1st was up 5% at 10.813 million head, both a little more than what analysts were expecting.

Overall, the numbers look at least somewhat bearish for cash and futures trade.