CHICAGO (Reuters) — The number of cattle placed in U.S. feedlots in July dropped seven percent from a year ago as pricey calves deterred some feedlots from purchasing them for fattening, a government report showed on Friday.
The U.S. Department of Agriculture report showed July placements at 1.560 million head, down seven percent from 1.684 million a year earlier. Analysts, on average, had expected a 9.1 percent decrease.
USDA put the feedlot cattle supply as of Aug. 1 at 9.837 million head, down two percent from 10.025 million a year earlier. Analysts polled by Reuters, on average, forecast a decline of 2.6 percent.
The government said the number of cattle sold to packers, or marketings, was down nine percent in July from a year earlier, to 1.787 million head. Analysts projected a drop of 7.5 percent from 1.970 million last year.
In July, ranchers placed more cattle and marketed fewer animals than anticipated which is mildly bearish for Chicago Mercantile Exchange live cattle futures on Monday.
