WASHINGTON, D.C. (RFD NEWS) — The January Cattle-on-Feed Report (PDF Version) from the U.S. Department of Agriculture (USDA) reinforced a tightening cattle supply picture, with on-feed inventories and placements running slightly stronger than pre-report expectations, while marketings also topped estimates. The combination keeps attention on shrinking feeder supplies and the pace of marketing as 2026 gets underway.
Cattle on feed in feedlots with a capacity of 1,000 head or more totaled 11.5 million head on January 1, down 3 percent from a year earlier. That translated to 97 percent of last year, above the average trade guess of 96.8 percent. The inventory included 7.02 million steers and steer calves and 4.44 million heifers and heifer calves, both down 3 percent year over year, with steers making up 61 percent of total cattle on feed.
December placements totaled 1.55 million head, or 95 percent of last year’s total, which was higher than the average trade estimate of 93.5 percent. Placements were spread across weight categories, led by cattle under 800 pounds, but the year-over-year decline continues to signal limited feeder availability. Marketings totaled 1.77 million head, or 102 percent of last year, also above the average trade guess of 101.5 percent, pointing to steady pull-through from feedyards.
State-level inventories showed a shifting regional balance among the biggest feeding states. Nebraska remained the top cattle feeding state, up 2 percent year over year, while Texas ranked second but was down 9 percent. Kansas was flat from a year earlier, holding steady as overall U.S. on-feed numbers declined.
Farm-Level Takeaway: Placements and marketings beat expectations, but declining on-feed totals and feeder constraints keep the supply story supportive for cattle prices into 2026.
Tony St. James, RFD NEWS Markets Specialist
Grain farms still have strong balance sheets, but another stretch of low profits will force hard cost cuts, especially on high-rent, highly leveraged operations.
December 09, 2025 11:41 AM
·
Mold damage is tightening China’s corn supplies, supporting higher prices and creating potential demand for alternative feed grains in early 2026.
December 09, 2025 07:00 AM
·
Tight Credit, Strong Yields Define Early December Agriculture
December 08, 2025 07:30 PM
·
Lawmakers and experts react to the Administration’s long-awaited announcement of “bridge” aid to stabilize farms and offset 2025 losses until expanded safety-net programs begin in 2026.
December 08, 2025 05:40 PM
·
Lewie Pugh with the Owner-Operator Independent Drivers Association (OOIDA) discusses the gap in truck driver education programs and how it impacts road safety and supply chain economics.
December 08, 2025 03:49 PM
·
Cattle imports from Mexico remain stalled amid the New World screwworm outbreak. At the same time, Tyson closures add pressure on Nebraska producers and markets ahead of the USDA’s upcoming Cattle on Feed Report.
December 08, 2025 01:55 PM
·
USTR Jamieson Greer signals a narrower trade deal with China, adding more market uncertainty. The Farm Bureau also supports reviewing China’s missed trade commitments under the Phase One.
December 08, 2025 01:00 PM
·
Southern producers head into 2026 with thin margins, tighter credit, and rising agronomic risks despite scattered yield improvements.
December 08, 2025 12:04 PM
·
Record yields and exceptionally low BCFM strengthen U.S. corn’s competitive position in global markets.
December 08, 2025 12:00 PM
·
