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Lower than expected December cattle placements
Poor feeding margins and big losses on outgoing cattle limited placements and marketings in December 2015.
The USDA reports producers placed 1.525 million cattle into U.S. feedlots last month, down 1% from December 2014, but considerably larger than most pre-report estimates. By weight, placements of cattle weighing less than 600 pound were 375,000 head and 600 to 699 pound placements were 355,000 head. Placements of cattle weighing between 700 and 799 pounds were 355,000 head and 800 pound and heavier placements were 440,000 head.
Marketings were up 1% on the year at 1.674 million head, slightly less than the average pre-report guess.
There were 10.573 million head on feed as of January 1st and heifers and heifer calves accounted for 32% of total inventory, the lowest January total since the series of reports started.
Other disappearances were 78,000 head, up 8%.
Tags: Cattle/Beef, Commodities, Livestock, USDA
I don’t understand your headline lower than expected December placements. Placements were expected to be between 91.1-97.5 with the average estimate 94.7, so how is that lower than expected?