OMAHA (DTN) -- Cattle and calves on feed for the slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 12.0 million head on Nov. 1, 2020. The inventory was 1% above Nov. 1, 2019, USDA reported on Friday. This is the highest Nov. 1 inventory since the series began in 1996.
Placements in feedlots during October totaled 2.19 million head, 11% below 2019. Net placements were 2.13 million head. During October, placements of cattle and calves weighing less than 600 pounds were 570,000 head, 600-699 pounds were 495,000 head, 700-799 pounds were 465,000 head, 800-899 pounds were 387,000 head, 900-999 pounds were 185,000 head, and 1,000 pounds and greater were 90,000 head.
Marketings of fed cattle during October totaled 1.87 million head, slightly below 2019.
Other disappearance totaled 63,000 head during October, 7% above 2019.
"The November USDA Cattle on Feed report showed total cattle in feedlots over 1,000 head at just under 12 million head (11.973 million head)," said DTN Analyst Rick Kment. "This is 1% above a year ago and slightly below analysts pre-report estimates. But even though numbers are below pre-report estimates, the fact that 12 million head of cattle are on feed remains a negative factor for the ability of prices to rally significantly over the near future.
"Cattle placements were 11% below 2019 levels, at 2.2 million head. Placements are 1% below estimates and slightly below September placement levels. This indicates that cattle placements likely hit seasonal highs in September due to drought conditions in many areas and wild market shifts.
"This report is expected to remain generally neutral to slightly bullish despite the continued large number of cattle supplies available."
DTN subscribers can view the full Cattle on Feed reports in the Livestock Archives folder under the Markets menu. The report is also available at https://www.nass.usda.gov/….
|USDA Actual||Average Estimate||Range|
|On Feed Nov. 1||101%||101.8%||100.9-102.6%|
|Placed in Oct.||89%||90.8%||87.3-95.5%|
|Marketed in Oct.||100%||100.2%||98.5-102.4%|
(c) Copyright 2020 DTN, LLC. All rights reserved.