USDA estimated there were 11.554 million head of cattle in large feedlots (1,000-plus head) as of May 1, down 100,000 head (0.9%) from year-ago. That was the first year-over-year decline in feedlot inventories in eight months. April placements dropped 5.8%, while marketings jumped 10.1% from year-ago levels.
Cattle on Feed Report | USDA | Average Estimate (% of year-ago) |
On Feed on May 1 | 99.1 | 99.2 |
Placements in April | 94.2 | 93.9 |
Marketings in April | 110.1 | 109.8 |
Placements declined in all but the two heaviest categories (9-weights and heavyweights), which were both unchanged from year-ago, though they only accounted for a combined 16.6% of the total number of cattle moved into feedlots in April. Placements dropped 6.9% for lightweights (under 600 lbs.), 10.2% for 6-weights, 8.5% for 7-weights and 3.6% for 8-weights. Placements declined 10,000 head in Colorado, 50,000 head in Kansas, 40,000 head in Texas and 17,000 head in “other states,” while Nebraska feedlots placed 15,000 head more cattle than year-ago last month.
The data is virtually right in line with pre-report expectations and should have no market impact coming off the extended holiday weekend.