January Cattle on Feed & Cold Storage Estimates

(CHICAGO, IL) Since the government remains shut down, many reports the industry rely on and use are not available. One such report is the Monthly Cattle on Feed Report from USDA. Even then, analysts continue to provide estimates of what they believe the report, if available, might project. Allendale sees December placements 3.1% over last year at 1.855 million head. If realized, this would be the largest December placement in thirteen years. It would also stop three consecutive months of declining placements, compared to the previous year. December placements supply a portion of the late June through October finished cattle supply. Breakevens for December placements, finished cattle this summer/early fall, average $119. Kansas State University estimates a $7 profit per head on finished cattle last month in December. Allendale also anticipates a Marketing increase of 1.9% over last year for a total of 1.785 million. This is the largest December marketing in eight years. Finally, total Cattle on Feed as of January 1 is expected to be 2.2% over last year at 11.738 million representing the largest January 1 total in seven years. USDA’s Cattle on Feed report is scheduled for a Friday release.