Placements Top Expectations

Posted on 06/22/2018 3:17 PM

The number of cattle on feed on June 1 stood at 11.553 million head, a 4% rise from year-ago levels and the highest June 1 figure since USDA began releasing this report in 1996. The number of cattle on feed was just 83,000 head higher than the market anticipated. Marketings were right in line with expectations, climbing 5% from year-ago levels. But Placements were a surprise, coming in marginally above year-ago levels, whereas traders had anticipated a 4.4-percentage-point drop.

Cattle on Feed Report expectations

USDA Actual
(% of year-ago)

Avg. Trade Estimate

(% of year-ago)

Range

On Feed June 1

104.0

103.4

102.8-104.4

Placements in May

100.0

95.6

91.9-100.8

Marketings in May

105.0

105.1

103.9-105.7

 

A weight breakdown of May placements shows: lightweight placements up 11.3% from year-ago, 6-weights up 7.9%, 7-weights down 9.3%, 8-weights down 4.7%, 9-weights steady with year-ago and heavyweights up 11.1%.

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