Source: Rita Jane Gabbett, MEATINGPLACE, 1/23/12


USDA’s monthly Cattle on Feed report confirmed market analysts’ expectations that while more cattle were on feed on Jan. 1 than a year ago, fewer were placed on feed and marketed during December than were during that month the previous year.   

“The year-over-year increase is not a surprise given the rapid increase in placements last summer and fall,” explained livestock analysts Steve Meyer and Len Steiner in the CME Group’s Daily Livestock Report issued before USDA’s report on Friday afternoon.

USDA reported cattle and calves on feed for slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 11.9 million head on Jan. 1, up 3 percent from the year ago inventory.

The inventory included 7.28 million steers and steer calves, up 1 percent from the previous year. This group accounted for 61 percent of the total inventory. Heifers and heifer calves accounted for 4.50 million head, up 6 percent from 2011.

Placements in feedlots during December totaled 1.68 million, 6 percent below 2010 and in line with market expectations, according to a pre-report Dow Jones survey.

Net placements were 1.59 million head. During December, placements of cattle and calves weighing less than 600 pounds totaled 550,000, while 600-699 pounds totaled 390,000 and 700-799 pounds totaled 365,000. Placements at 800 pounds and greater were 378,000.

Marketings of fed cattle during December totaled 1.80 million, 2 percent below 2010 and also in line with market expectations.

Other disappearance totaled 91,000 during December, 40 percent above 2010.

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