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Beef Buzz News


No Surprises in The February Cattle on Feed Report Says OSU's Derrell Peel

Mon, 22 Mar 2021 08:02:31 CDT

No Surprises in The February Cattle on Feed Report Says OSU's Derrell Peel The latest USDA Cattle of Feed Report held few surprises, said Dr. Derrell Peel, OSU Extension livestock market economist.

Placements in February were 98 percent of last year and marketings were 98 percent, Peel said.

Giving us a March 1 on feed total 102 percent of last year.

It’s a straight up comparison to a year ago, he said, as thee were the same number of operating days.

The trade anticipated these numbers so there were no big surprises, he said.

There was a general expectation because of the winter weather in February the numbers might be down but there were no surprises, Peel said.

The OSU economists said the weight breakdowns were interesting as virtually all the decrease in the placement in the lightweight cattle below 7000 pounds, down about 4.5 percent.

Basically, no change on weights 700 pounds and up, so that says we placed fewer light weight cattle and that has positive implications down the road, he said.

The other thing Peel pointed out in the report, the feeding industry is slightly more concentrated in the north than in the south and Texas and Oklahoma are still below year ago levels on cattle on feed inventories, Peel said.

Some of that is seasonal as we see backgrounded calves up north that come off right after the first of the year, Peel said.

In the south we will see more calves coming off wheat pasture in March and we have had some big auction runs the past several weeks, he added, as this will show up in the March numbers.

February’s brutal cold will have its biggest impact on the total cost of dealing with the storm and not necessarily in lost cattle, Peel said.

There will be some performance and efficiency issues, especially in the Texas Panhandle, that cost operator’s money, he said.

In terms of overall numbers in the industry I don’t think we’re talking about death loss totals that will have significant implications in terms of the broader market totals, Peel said.

Click on the LISTEN BAR below to hear more comments from Dr. Peel.

The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR below for today’s show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.


   
   

Ron Hays Beef Buzzes With Derrell Peel
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