Cattle
prices continue to hover around the recent highs as buyers continue to queue up
for cattle making their way to the yards.
Easing supply and improved quality of the cattle available at the yards
helped to insulate the market from price declines this week.
Indicators
traded within a narrow range this week, ranging from 8¢ declines (restocker
steers at 477¢/kg lwt) to 11¢ gains (processor cows). The Eastern Young Cattle
Indicator (EYCI) lost 1¢ to 896¢/kg cwt. The Western Young Cattle Indicator
(WYCI) jumped 26¢ to 789¢/kg cwt.
Supply
through the yards was 1% lower week on week, with the decline in numbers driven
by fewer numbers in NSW. Per MLA
saleyard reports, southern buyers met an increased cow yarding in Dalby, and
restockers paid slightly higher for stock heading back to the paddock. Roma
buyers were chasing quality as lightweight weaner bids eased. Feeder cattle
were dearer in Gunnedah and Wagga buyers were chasing feeder types with strong
competition.
This
week on Mecardo, Jamie-Lee Oldfield dived into exports, which continue to fly (read
more here). Australian beef exports to South Korea hit a monthly record in
August, increasing 18% year-on-year, and 36% more than the five-year average
for the month. Year-to-date volumes are now up 17% from 2024, and this means we
could have already hit the trade agreement safeguard quota, with remaining
exports to this market now subject to a 24% tariff. Meanwhile, American cow slaughter is 20% lower
YoY and Australian beef exports to the US are up 22% YoY.
Next week
90CL beef into the US sits at 1109AU¢/kg, the 6th consecutive week above the $11/kg mark and from a global trade perspective it’s been quiet on the trade policy front (for now).
With demand prospects likely to track sideways, supply will be the tipping point for prices from recent highs.
The latest Beef Producer Intentions Survey (BPIS), undertaken by Meat & Livestock Australia with results released this week, shows overall positivity in the industry, with
The latest data from the lotfeeding sector, as well as ABS livestock production figures, continues to reflect the now firmly cemented importance of the sector
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Quality improves to keep prices hovering at highs
Indicators traded within a narrow range this week, ranging from 8¢ declines (restocker steers at 477¢/kg lwt) to 11¢ gains (processor cows). The Eastern Young Cattle Indicator (EYCI) lost 1¢ to 896¢/kg cwt. The Western Young Cattle Indicator (WYCI) jumped 26¢ to 789¢/kg cwt.
Supply through the yards was 1% lower week on week, with the decline in numbers driven by fewer numbers in NSW. Per MLA saleyard reports, southern buyers met an increased cow yarding in Dalby, and restockers paid slightly higher for stock heading back to the paddock. Roma buyers were chasing quality as lightweight weaner bids eased. Feeder cattle were dearer in Gunnedah and Wagga buyers were chasing feeder types with strong competition.
This week on Mecardo, Jamie-Lee Oldfield dived into exports, which continue to fly (read more here). Australian beef exports to South Korea hit a monthly record in August, increasing 18% year-on-year, and 36% more than the five-year average for the month. Year-to-date volumes are now up 17% from 2024, and this means we could have already hit the trade agreement safeguard quota, with remaining exports to this market now subject to a 24% tariff. Meanwhile, American cow slaughter is 20% lower YoY and Australian beef exports to the US are up 22% YoY.
Next week
90CL beef into the US sits at 1109AU¢/kg, the 6th consecutive week above the $11/kg mark and from a global trade perspective it’s been quiet on the trade policy front (for now).
With demand prospects likely to track sideways, supply will be the tipping point for prices from recent highs.
Have any questions or comments?
Click on graph to expand
Data sources: MLA, Mecardo
Categories
Have any questions or comments?
Demand swings back towards the sellers favour
The latest Beef Producer Intentions Survey (BPIS), undertaken by Meat & Livestock Australia with results released this week, shows overall positivity in the industry, with
Could this be peak steer supply?
The end of March seems a lifetime ago given what has gone down in cattle markets since. But it is the end of March slaughter
Rain and grain push market higher
Rain made things tricky at Homebush on Wednesday but has lifted the cattle market higher. The EYCI skyrocketed this week as numbers were down, and
Lotfeeding sector keeping pace with booming beef production
The latest data from the lotfeeding sector, as well as ABS livestock production figures, continues to reflect the now firmly cemented importance of the sector
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Independent analysis and outlook for wool, livestock and grain markets delivered to you as it’s published
Listen to the podcast
Join the Mecardo team for the Commodity Conversations podcast, where we provide short weekly market recaps and longer conversations with guests to discuss the drivers and trends in livestock, grain and fibre markets.
MEET THE TEAM
Our team of market analysts are recognised as leaders in Australian Ag market analysis, providing invaluable insights to help you navigate the ever-changing commodity landscape.
SERVICES AND CAPABILITIES STATEMENT BROCHURE
We don’t just bring you the most up to date market insights. Find out more about Mecardo’s services including risk management advisory, modelling, benchmarking, research & consultancy.