Allendale, Inc. Releases Cattle on Feed Estimates

For Immediate Release
‍
‍Allendale, Inc. Releases Cattle on Feed Estimates

‍ MCHENRY, IL. (November 14, 2024) – The following are our estimates for the coming Cattle on Feed report. October placements are expected +2.8% from prior year at 2.242 million head. This is the largest October inflow in three years. October placements determine a part of April – September fed cattle supply. Kansas State University estimates finishing cattle during April – June require a $185 breakeven. Total placements March - October, what determines fed cattle supplies now through part of Q2, would run -1.9% year/year. Allendale anticipates a Marketing total in October +5.0% from last year at 1.851 million. This is the largest October outflow in four years. Total Cattle on Feed as of November 1 is estimated at 11.937 million, -0.1% from last year. Of this we estimate COF for over 120 days, a measure of upfront finished cattle supplies, at -2.5% from last year. This is the first year over year decline for +120 day COF in 14 months. This would imply steer/heifer slaughter may lightly roll over to below last year numbers in the weeks ahead.

For questions and comments, please contact Rich Nelson, Chief Strategist at 800-262-7538 or rnelson@allendale-inc.com.

This material has been prepared by a sales or trading employee or agent of Allendale Inc. and is, or is in the nature of, a solicitation. This material is not a research report prepared by Allendale’s Research Department. By accepting this communication, you agree that you are an experienced user of the futures markets, capable of making independent trading decisions, and agree that you are not, and will not, rely solely on this communication in making trading decisions. DISTRIBUTION IN SOME JURISDICTIONS MAY BE PROHIBITED OR RESTRICTED BY LAW. PERSONS IN POSSESSION OF THIS COMMUNICATION INDIRECTLY SHOULD INFORM THEMSELVES ABOUT AND OBSERVE ANY SUCH PROHIBITION OR RESTRICTIONS. TO THE EXTENT THAT YOU HAVE RECEIVED THIS COMMUNICATION INDIRECTLY AND SOLICITATIONS ARE PROHIBITED IN YOUR JURISDICTION WITHOUT REGISTRATION, THE MARKET COMMENTARY IN THIS COMMUNICATION SHOULD NOT BE CONSIDERED A SOLICITATION. The risk of loss in trading futures and/or options is substantial and each investor and/or trader must consider whether this is a suitable investment. Past performance, whether actual or indicated by simulated historical tests of strategies, is not indicative of future results. Trading advice is based on information taken from trades and statistical services and other sources that Allendale Inc. believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades.