04/24/06 More and heavier feedlot inventory

American Rancher April 24, 2006 The U.S. feedlot inventory as of April 1st was up nine percent over the same time a year ago, according to the USDA Cattle on Feed report issued Friday. Futures traders called the report bearish. On feed numbers were a point above expectations, March placements at 105 percent of a year ago were a couple points above pre-report estimates and last month's marketings at unchanged from last year were below expectations. USDA livestock analyst Shayle Shagum says weather is probably behind the increased feedlot inventory. Shagum: "To some extent I think what this reflects is continued response to continued dry conditions that we are seeing in much of the U.S. We saw increased placements across most of the weight classes." And when it comes to weights, Shagum notes a five percent increase in the number of cattle over 800 pounds in feedlots. Shagum: "A possible sign that some animals that were going to be considered for breeding are actually moving into feedlots right now." Shagum says that includes an increase in heifers in feedlots. The analyst says USDA's outlook is still large supplies of beef for 2006 and lower beef prices for the upcoming Memorial Day Holiday and the kickoff of grilling season. The breakout for the Northwest in the Cattle on Feed report showed Idaho with a feedlot inventory of 250-thousand head, up four percent from last April. Washington's inventory at 152-thousand was down four percent. I'm Bob Hoff.