Feedlot margins continued to fall further into red ink (-$328.75/head) with last week’s Sterling breakeven estimated at $242.52/cwt. compared to $236.03/cwt. the previous week and $192.35/cwt. a year ago.
Feeder cattle prices for cattle marketed last week averaged $372.66/cwt. while the cost for cattle placed on feed last week averaged $331.38/cwt. as feed prices are increasing. A year ago, Sterling’s estimate of feedlot margins was $703.74/head.
Sterling’s estimated beef packer margins last week averaged $169.22/head. The average carcass weight for all cattle last week was 887 lb.
View the full Sterling Beef Profit Tracker for the week ending Sept. 5.
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.)
