By Bernt Nelson
USDA’s latest Cattle on Feed report, released May 22, delivered slightly bearish news as higher-than-expected placements combined with lower marketings resulted in the first increase in the number of cattle on feed in 18 months. As of May 1, 2026, total cattle on feed in U.S. feedlots with a capacity of 1,000 head or more reached 11.6 million head, up about 2%, or 62,000 head, from May 2025. Placements totaled 1.7 million head, an increase of 89,000 head, or 6%, year over year, while marketings of fed cattle came in at 1.64 million head, roughly 10% lower than last year.
The report does not suggest herd expansion, but rather a modest uptick in the number of cattle being fed for beef production. Broader conditions in the cattle industry continue to limit expansion. According to Dr. Derrell Peel of Oklahoma State University Extension, more than 79% of the beef cow herd across the 26 largest cattle-producing states is currently affected by drought conditions, representing over 70% of the total U.S. herd.
As drought persists, producers are dealing with elevated feed, hay, and water costs. These difficult conditions, along with continued record cash prices, may have encouraged farmers and ranchers to place heifers on feed that otherwise would have been retained as replacement females that could lead to long-term herd rebuilding.
Source : osu.edu