Feedlots Buy 22% More Cattle as Drought Scorches Pastureland
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U.S. feedlots increased purchases of young cattle by 22 percent in July, as a lingering drought in the southern U.S. forced ranchers to move animals off pastures.
Feedlots bought 2.153 million head of cattle last month, up from 1.758 million in July 2010, the U.S. Department of Agriculture said today in a report. The purchases were the most for July since at least 1996, the USDA said. Thirteen analysts surveyed by Bloomberg News projected a 17 percent increase, on average. The feedlot herd was 10.626 million as of Aug. 1, up 7.6 percent from a year earlier. Analysts expected a 7.1 percent gain.