USDA will release its Cattle on Feed report tomorrow. Analysts’ pre-report estimates peg the total number of cattle on feed as of 1 May at 101.5 percent of a year ago. The range of estimates was extremely tight, coming in between 101.2 and 101.8 percent. The implied inventory of cattle on feed would be 11.9 million head.
Last May, the cattle on feed inventory was the second highest on record so inventories are going to be large, but the real lever is the number of cattle coming in behind these large numbers, especially as cow slaughter is higher than normal. It is a long term bullish scenario for cattle supply and demand per se, but the overall inflationary environment and its impacts on domestic consumer beef demand and demand for...
What You Need to Know Today: Markets got a surprise with a corn yield of 181.2 bushels/acre in the October WASDE, above the average estimate of 177.6 bushels/acre and up from USDA’s September estimate of 178.5 bushels/acre. Although stronger demand is expected to absorb some of the addit...
Key Takeaways: On Friday afternoon, President Trump announced that Russia will “immediately supply over 300,000 Tons of Diesel Fuel” to the United States. The deal, typical of this administration, is light on details but promises an additional 500,000 tons in November and 1 m...
The USDA has lowered its 2026 red meat production forecasts slightly while forecasting a slight increase in broiler production. Beef is now projected at 24.802 billion pounds, 75 million pounds less than in September. Cow slaughter is expected to be up; however, this will be offset by lower ste...
