Cattle and hog feeders are benefitting from dramatically lower grain and feed costs this year while live animal sale prices are higher. Profit margins for both species have doubled in the past month.
U.S. pork exports posted another strong performance in October. Beef exports remained well below last year’s large totals but improved from September.
The spread between cattle feeding margins and beef packer margins has now reached $500 per head as packing losses increase. Pork producer margins are the highest of the year.
Cash prices for both cattle and hogs advanced last week leaving feeding margins for both species solidly in the black. Hog margins were positive for the eighth consecutive week and cattle climbed out of the red.
Cash-traded feeder pig reported volume was below average this past week, with 4,800 head reported. Cash feeder pig reported prices were $97.36, down $2.81 per head from last week.