Feedlots continued to build inventories in September, leading to a record feedlot total for Oct. 1, according to the latest USDA Cattle on Feed report. September placements were 105.9% of last year, larger than expected and higher year over year for a third straight month. Feedlot marketings in September were 106.2% of last year, slightly larger than expected. There was one more business day in September, and daily average marketing was about one percent above last year. The Oct. 1 feedlot total was 11.72 million head, 103.8% of last year and a record large October total for the data series back to 1996.
From July to September, three-month total feedlot placements were up 8.5% year over year. In Kansas, placements were up 17% for the three months, leading to an Oct. 1 inventory up 7% year over year. Nebraska placed 14.5% more cattle the past three months, bringing the state feedlot inventory up 6% compared to Oct. 1 last year. Colorado placed 9.3% more cattle from July to September, resulting in an Oct. 1 feedlot total up 12% year over year. Texas placements were up 2.0% since July, with an on-feed total up 3% on Oct. 1. Iowa has placed 1.9% less than last year in the past three months and has a feedlot inventory down 5% compared to one year ago. Oklahoma has placed 13.4% more in feedlots since July and has a total Oct. 1 feedlot inventory equal to last year.
The winter storm this week will provide a significant management and production challenge for feedlot cattle. This follows excellent feeding conditions for much of this year. Kansas Focus on Feedlots data shows that feedlot average daily gains have been above year ago levels all year, with improved feed conversions as well. Improved gains and feed efficiency have pulled feedlot cost of gain below year-ago levels. Excellent feedlot performance has contributed to heavy cattle weights thus far this year. The latest weekly data on steer carcass weights are at 928 pounds, up 27 pounds year over year. Heifer carcass weights are at 846 pounds, 17 pounds above this time one year ago. Carcass weights should reach a seasonal peak in late October or early November and may match or exceed previous record levels. Steer carcass weights reached a record 930 pounds the week of Oct. 17, 2015. Year-to-date average steer carcass weights are well above the previous record level in 2015 and will no doubt reach a new record level in 2020, above 900 pounds for the first time. 
This originally appeared in the Oct. 26, Oklahoma State University Cow-Calf Corner newsletter.
