The 5-Area Choice Steer prices gained $3/cwt. last week over the prior week to end with a weekly average of $227.06/cwt. However, the Comprehensive Cutout lost ground averaging $371.93/cwt. against $376.00/cwt. the prior week. Consequently, Sterling’s estimated beef packer margin lost nearly $100/head last week, ending at $54.36/head compared to $155.06/head the prior week.
Though still posting red ink, Sterling’s estimated feedlot margins showed some improvement and averaged -$226.16/head against -$244.70/head a week earlier.
View the full Sterling Beef Profit Tracker for the week ending Oct. 24.
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.)
