News

Cattle placements, marketings down in June

Placements of cattle into U.S. feedlots fell during June.

The USDA says 1.564 million cattle were placed on feed last month, a decline of 7% on the year, which followed an increase in placements during May. This lower June placements number implies a tighter supply of market ready cattle later this year and early next year.

June marketings fell 9% to 1.786 million head, the second lowest for the month on record, due to generally tighter ready numbers and slower slaughter speeds.

There were 11.304 million cattle and calves on feed on July 1^st of this year, up 1% from last year, which included 4.48 million heifers and heifer calves, slightly more than a year ago, which could signal at least some herd expansion. Steer and steer calves totaled 6.824 million head, 1% higher.

The numbers look neutral to supportive for futures, cash, and wholesale prices, but that will also depend on consumer demand and packer margins.

The USDA’s next cattle on feed update is out August 23^rd.

Comparisons for Brownfield states:

Iowa: On Feed: 650,000 head, unchanged from July 1^st, 2023; Placements: 47,000 head, 22% lower than June 2023; Marketings: 56,000 head, 3% less than a year ago

Kansas: On Feed: 2.22 million head, down 7% from July 1^st, 2023; Placements: 310,000 head, 22% lower than June 2023; Marketings: 400,000 head, 13% less than a year ago

Minnesota: On Feed: 105,000 head, up 5% from July 1^st, 2023; Placements: 10,000 head, 23% lower than June 2023; Marketings: 9,000 head, 25% less than a year ago

Nebraska: On Feed: 2.39 million head, up 3% from July 1^st, 2023; Placements: 415,000 head, 2% lower than June 2023; Marketings: 495,000 head, 6% less than a year ago

South Dakota: On Feed: 205,000 head, up 14% from July 1^st, 2023; Placements: 24,000 head, 9% higher than June 2023; Marketings: 36,000 head, 10% less than a year ago