Negotiated Live Choice Steers continued to gain momentum into the summer grilling season on strong Comprehensive Cutout Value averaging $233.65/cwt for the week ending May 30.
The Comprehensive Cutout averaged $360.32/cwt and up $7/cwt from the prior week. This market strength suggests a solid market on the demand side and when coupled with tighter cattle numbers will continue over the next 90 days.
Feedlot margins averaged an estimated $730/head and $500/head over a year ago. At the same time, packer margins though improved from the prior week, continue to face an uphill battle, remaining in the red over $200/head.
View the full Sterling Beef Profit Tracker for the week ending May 31.
The Beef and Pork Profit Trackers are calculated by Sterling Marketing, Vale, Ore.
(Note: The Sterling Beef Profit Tracker calculates an average beef cutout value for the week in its estimates for feedyard and packer margins. Other prices in the weekly Profit Tracker also are calculated weekly averages. Feedyard margins are calculated on a cash basis only with no adjustment for risk management practices. The Beef and Pork Profit Trackers are intended only as a benchmark for the average cash costs of feeding cattle and hogs. Sterling Marketing is a private, independent beef and pork consulting firm not associated with any packing company or livestock feeding enterprise.)
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