No positive surprises in July U.S. Cattle on Feed report

If you were looking for the the July 1 USDA cattle on feed report to shock the market to the higher side, it did not deliver.

Overall, cattle on feed in the United States were up 4 percent compared to a year ago, with heifers and heifer calves on feed up 11 percent compared to a year ago.

Placements in feedlots during June were up 16 percent in comparison to June 2016. Net placements were 1.71 million head. During June, placements of cattle and calves weighing less than 600 pounds were 375,000 head, 600-699 pounds were 315,000 head, 700-799 pounds were 430,000 head, 800-899 pounds were 385,000 head, 900-999 pounds were 170,000 head, and 1,000 pounds and
greater were 95,000 head.

Read the USDA Cattle on Feed report

“The placement number is bearish but the question will be how much more this could drive the market lower since we have pessimism built into the market”

— Anne Wasko —

In early trade on Monday the live cattle futures contracts opened at least two dollars lower, as expected, as traders sell off Friday’s bearish report. Much of the report is commentary on what the market has known as reality for weeks, as Anne Wasko notes.

After the Monday morning sell off is over, how live cattle trade the rest of the week will give many a clearer picture of how much of this July U.S. cattle on feed report was priced into the market.

With the fall looming and getting closer to reality, many feedyards are trying to brace themselves for tight margins in the yard.

Leave a Reply


This site uses Akismet to reduce spam. Learn how your comment data is processed.

Privacy Preference Center


Necessary cookies help make a website usable by enabling basic functions like page navigation and access to secure areas of the website. The website cannot function properly without these cookies.

gdpr, __cfduid, PHPSESSID, wordpress_test_cookie, woocommerce_items_in_cart, woocommerce_cart_hash, wp_woocommerce_session, wordpress_logged_in, wordpress_sec, wp-settings, wp-settings-time, __cf_mob_redir, wordpress_cache


Measuring interactions with the ads on the domain.



These are used to track user interaction and detect potential problems. These help us improve our services by providing analytical data on how users use this site.



Preference cookies enable the website to remember information that changes the way the website behaves or looks, like your preferred language or the region that you are in.

chartdefaults, comment_author, comment_author_email, comment_author_url
JSESSIONID, _os_session,anonymous_votes,csrf-param,csrf-token,user,user-id,user-platform,intercom-session,intercom-lou,intercom-session
personalization_id, tfw_exp