There was a shift in margins across the red meat industry last week. As the bids for slaughter cattle continued to weaken, packers saw the highest weekly margin since August 2022 with Sterling’s estimated margin averaging $87.48/head while feedlot margins saw red ink.
Sterling’s estimate of feedlot margins for last week was -$15.42/head and the lowest since April 2024 against an estimated breakeven of $211/cwt. 5-Area Choice steers averaged $209.78/cwt. while the Comprehensive Cutout averaged $370.27/cwt for the week.
View the full Sterling Beef Profit Tracker for the week ending Nov. 29.
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.)
