The USDA says there were slightly fewer cattle in the United States at the start of 2021 than there were at the start of 2020.

The inventory of 93.595 million head was down about 200,000 on the year, generally in-line with pre-report expectations and a potentially positive sign for prices.

More contraction is likely, with the 2020 calf crop 1% smaller than the 2019 total at 35.136 million head.

All cows and heifers that have calved were also slightly lower than a year ago at 40.598 million head, with a 1% decrease in beef cows cancelling out a 1% increase for milk cows at 31.158 million and 9.440 million head, respectively.

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