Cattle on Feed Report: Sharp drop in placements

USDA estimated there were 11.821 million head of cattle in large feedlots (1,000-plus head) as of April 1, up 174,000 head (1.5%) from year-ago but 35,000 head less than the average pre-report estimate implied. This marked the seventh consecutive month with a year-over-year increase in feedlot inventories. March placements of cattle into feedlots fell 12.3%, while marketings dropped 13.7%.  

Placement of 9-weight and heavyweight (1,000-plus lbs.) cattle was unchanged from year-ago, though those two categories accounted for only 13.2% of the total number of cattle moved into feedlots during March. There was a sharp decline in placements in all other categories with lightweights (under 600 lbs.) down 15.4%, 6-weights down 17.5%, 7-weights down 14.8% and 8-weights down 9.9%. Placements were down 20,000 head in Colorado, 60,000 head in Kansas, 30,000 head in Nebraska, 90,000 head in Texas and 46,000 head in “other states.”