Tag Archives: Cattle on Feed

Wheat bulls, Chinese politics, and USDA formulas are all topics of discussion to start the week off on the Fontanelle Final Bell. Darrin Fessler, Lakefront Futures, looks at the wheat market at possible momentum and technical trading to the upside. Fessler notes that it’s unusual to see the Minneapolis wheat futures at a discount to Chicago wheat futures.

Following the weekend election results in Hong Kong Bejing may be feeling political pressure to get a Phase One Trade deal signed with the US.

Finally Fessler looks at how the USDA is currently formulating feed use in the US and if the latest cattle on feed report will have an impact on that formula.

Cattle and calves on feed for the slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 11.3 million head on October 1, 2019. The inventory was 1% below October 1, 2018, USDA reported Friday.

The inventory included 6.87 million steers and steer calves, down 3% from the previous year. This group accounted for 61% of the total inventory. Heifers and heifer calves accounted for 4.41 million head, up 2% from 2018.

Placements in feedlots during September totaled 2.09 million head, 2% above 2018. Net placements were 2.03 million head. During September, placements of cattle and calves weighing less than 600 pounds were 420,000 head, 600-699 pounds were 355,000 head, 700-799 pounds were 460,000 head, 800-899 pounds were 475,000 head, 900-999 pounds were 273,000 head, and 1,000 pounds and greater were 110,000 head.

Marketings of fed cattle during September totaled 1.74 million head, 1% above 2018.

Other disappearance totaled 59,000 head during September, 4% above 2018.

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The report is also available at https://www.nass.usda.gov.

USDA Actual Average Estimate Range
On Feed Oct. 1 99.0% 98.7% 97.7-99.8%
Placed in September 102.0% 100.8% 95.1-107.6%
Marketed in September 101.0% 101.2% 98.2-101.5%

 

Jerry Stowell, Country Futures, see’s the report near expectations and believes the current cash trade as being bullish for the market.