January 2016 -- Livestock Market Update
Cattle on Feed Shows Marketings Still Slow
Last week’s Cattle on Feed report was kind of a disappointment for a market that was hoping for some positive fundamental news to turn around what has been a really challenging market. There was at least one real surprise in the report and it was the bad kind of surprise: placements in December were down less than one percent from a year ago—considerably higher than expected. Compounding the negative tone of the report, marketings were less aggressive than the pre-report estimates had hoped—up 1.1 percent compared to the prior year.
Marketings appear to have remained more sluggish than would be desired given the available front-end supplies of fed cattle. Figure 1 shows monthly marketings as a percent of the estimated inventory of cattle with more than 120 days on feed.
To see the complete report please, click here.
Want more news on this topic? Farm Bureau members may subscribe for a free email news service, featuring the farm and rural topics that interest them most!