How are the very high cattle prices and very high feed prices going to affect beef cattle producers' plans? Also just how much has the cattle herd declined already? USDA livestock analyst Shayle Shagam says that this Friday's USDA Quarterly Cattle Inventory Report may help answer those questions.
According to Shagam, last week's cattle feedlot report showed more cattle going into feedlots and more cattle being marketed.
"Likely we have been marketing a very large proportion of the cattle that were remaining outside feedlots," Shagam said. "When we get the cattle report we will have an indication of what's being retained for the breeding herd and also what's available to be placed on feed, so that will give us a very good indication of what may be left in the pipeline."
From the information already known from the feedlot report and other sources it does imply that supplies are going to be getting tighter. This Friday's cattle report, released at 2 p.m. CST, may hold some clues on how much tighter.