Packer
Last week’s $2 per cwt cash cattle rally lifted feedyard margins to breakeven.
Last week’s $1 per cwt retreat in cash cattle prices took feedyard margins only modestly lower.
A $1 decline in average fed cattle prices and a $25 per head increase in the cost of feeder cattle pushed cattle feeding losses to $52 per head last week.
Cattle feeding margins slipped further into the red last week.
The red ink has started to slow down for feedlots and cattle prices have rallied lately, giving beef producers something to be thankful for.
Cattle feeders earned a small profit on cattle sold last week, the first positive closeouts in months.
Cattle feeders turned a tidy profit for the second consecutive week.
Normally when profit margins decline $50-plus per head there’s no rejoicing.
Cattle feeders earned average profits of $68 per head last week, $30 per head more than the previous week.
Last week’s $4-plus rally in cash fed cattle prices cut average feedyard losses in half, leaving the red ink totaling $90 on every animal shipped.
Feedyard margins improved last week despite a $3 per cwt. decline in cash cattle prices.
Last week’s market rally helped feedyards erase much of their red ink, but not all.
Feedlot closeouts continue ending on positive notes.
Cattle feeders turned a profit for the eighth consecutive week.
Cattle feeders saw positive margins on closeouts for the ninth consecutive week.
Feedyard margins declined $28 per head last week to total an average loss of $70 per head, according to the Sterling Beef Profit Tracker.
Feedyard margins dropped another $20 last week to total an average loss of $90 per head, according to the Sterling Beef Profit Tracker.
Feedyard profit margins rebounded slightly after last week’s $2 rally in the cash fed cattle market.
The Sterling Beef Profit Tracker reports average cattle feeding closeouts were in the black last week, but with little room to spare.
Cattle feeding and packer profit margins both declined last week as cash cattle prices were modestly lower.
Cattle feeding margins improved $43 per head last week as cash prices gained nearly $2 per cwt.
As expected, beef packer margins jumped wildly higher the week ending Aug. 17, while cattle feeding margins slipped into the red.
Packer margins have grown to exceptionally high levels in recent weeks, while feedyard profits have eroded.
Feedyard margins climbed back into triple digits last week with a $1 to $2 price rally.
Beef packers continued to maintain their leverage on cattle markets heading into the holiday-shortened first week of September.
Last week’s $2 rally in cash cattle prices helped narrow the spread between feedyard losses and packer profits.
Feedyards saw closeouts improve dramatically last week after the cash cattle market posted its third consecutive week of higher prices.
Gains in cash fed cattle prices did not translate into higher profits for feedyards last week as higher feeder cattle prices were calculated into breakevens.