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Cattle placements top most expectations

The USDA says there were more cattle placed into feedlots than expected during January.

Placements grew by 3% to 2.017 million head, above most analysts’ estimates despite higher feed costs and mostly lower live cattle prices.

Most of the cattle placed weighed between 600 and 900 pounds and will be marketed in late spring into summer. By weight, placements of cattle weighing less than 600 pounds were 410,000 head, 600 to 699 pound placements were 440,000 head, and placements of cattle weighing 700 to 799 pounds were 575,000 head, while 800 to 899 pound placements were 417,000 head, 900 to 999 pound placements were 105,000 head, and placements of cattle weighing 1,000 pounds and up were 70,000 head.

With those lower prices, marketings fell 6% to 1.822 million head, while the total number of cattle on feed on February 1st rose 1% to 12.106 million head, the highest total to start the month in 25 years.

Texas has the largest number of cattle on feed, just ahead of Nebraska and Kansas.

The numbers look bearish over the long-term for cash prices.
Comparisons for Brownfield states:

Iowa: Cattle on Feed: 620,000 head, down 7% 2020; Placements: 109,000 head, 2% lower than a year ago; Marketings: 97,000 head, 10% less than last year

Minnesota: Cattle on Feed: 115,000 head, down 15% from 2020; Placements: 15,000 head, 12% lower than a year ago; Marketings: 14,000 head, 12% less than last year

Nebraska: Cattle on Feed: 2.61 million head, up 5% from 2020; Placements: 530,000 head, 4% higher than a year ago; Marketings: 460,000 head, 4% less than last year

South Dakota: Cattle on Feed: 245,000 head, up 2% from 2020; Placements: 405,000 head, 9% higher than a year ago; Marketings: 38,000 head, 12% less than last year

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