USDA Cattle on Feed Report Preview

OMAHA (DTN) -- Friday's April 1 USDA Cattle on Feed report isn't expected to ruffle the market's feathers and send the complex tumbling lower. However, it is unnerving to note the increase in total on-feed numbers amid weaker marketings as, seasonally, this can become problematic for the industry, as showlists naturally grow larger over the summer.

The expected 8.2% decrease in placements comes as no surprise, as placements were sharply higher in February following the severe snowstorms that affected the entire country in January. It will likely become a trend over the next couple of months that placements will be reported lower, as feedlots have procured calves/feeders earlier this year because they knew that supplies would be low and prices would likely be higher the closer time got to turn-out season.

Friday's April 1 Cattle on Feed report isn't expected to have a significant effect on the spot market.

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USDA will release its April 1 Cattle on Feed report at 2 p.m. CDT on Friday.

	USDA Actual	Average Estimate	Range
On Feed April 1		102.0%	101.6-102.5%
Placed in March		92.8%	90.0-94.7%
Marketed in March		89.0%	86.5-91.3%

ShayLe Stewart can be reached at ShayLe.Stewart@dtn.com

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