With a $5/cwt. gain in the weekly average 5- Area Direct Steer price, feedlot margins were notably improved with Sterling estimated average for the week at $333.53/head compared to $306.68 the prior week.
Steer prices averaged $245.18/cwt. against a $221.36 breakeven for those cattle. The first cost of 750-800 lb. feeders into the feedlot averaged $375.51/cwt. compared to $268.55/cwt. for the same week a year ago resulting in a breakeven of $191.49/cwt.
Average packer margins fell further into the red last week with Sterling’s estimate at -$298.46/head compared to -$193/head the prior week. The Comprehensive Beef Cutout averaged $366.87/cwt. last week.
View the full Sterling Beef Profit Tracker for the week ending Feb. 14.
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.)
