Negotiated cash fed steer prices were up sharply last week and to the surprise of many to an average $205.70/cwt and $6.50 higher than the previous week, leaving feedlot margins at an estimated $420 per head compared to $29 for the same week a year ago. Prices for feeder cattle weighing 750 – 800 lbs. were pushed $12/cwt. higher to average $286/cwt and pushing the breakeven for those cattle to $199/cwt.
Packer margins remain well into the red (- $138) with cattle purchased during the week ending March 8 for $201/cwt. slaughtered and processed last week.
View the full Sterling Beef Profit Tracker for the week ending March 15.
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.)
