This week’s market:  

Export cattle down -10c and more. Feeders improve +(3-6c)

An uncertain future continues to stalk cattle markets causing export cattle prices to tumble further this week amid gloomy financial markets and a beef industry that, not surprisingly, seems wide-eyed and virtually lost at every level. After OTH rates began the week lower by -(10-20c), export steers and cows in the physical market echoed the cut and lost an average -10c. But Dalby and Roma radiated the determination of buyer’s to slash rates. At Dalby more than 600 prime steers dropped -19c ave 162-169c and at Roma 700 head lost -10c ave 166c. A brighter note in the market was the return of feedlot and restocker interest to support stronger yearling and heavy feeder rates. While yearling markets were volatile, good numbers of heavier types improved +(3-6c) and occasionally up to +10c and trade/feeder steers 400-500kg improved +(5-7c) off firm.

Draft numbers often doubled or halved at different regions this week driven by the season, and concerns about falling price trends. But buyers are making some adjustments of their own by planning to reduce shifts and/or kill days, while some in Qld have also scheduled early closures for the Xmas break. All of which, could make for tougher markets for export grades in the 3-5 weeks of remaining slaughter in Qld. For your convenience we have produced two lists of recess dates for the Xmas break. One of meatworks, the other of saleyards we cover at Cattlefacts. You can print them out for future reference by following these links for Saleyard Recess Dates (http://www.cattlefacts.com.au/SaleyardRecessDatesCurrent.htm) and Meatworks Recess Dates (http://www.cattlefacts.com.au/worksrecessdatesCurrent.htm) You’ll always find those links on our Cattle Markets Page.

QUICK PRICES:

Steers over 500kg: Averages generally came back -10c but Dalby was hardest hit losing -19c ave 162-169c, while the best elsewhere averaged a firm 181-184c. Steers 400-500kg were mostly from firm to +(5-7c) dearer ave 181-183c top 199c, but there were some exceptions. Cows over 500kg: Prices at key sales like Dalby and Roma dropped -(8-11c) and heavy cows averaged 145-150c top 159c. Yearling steers 300-400kg had a mixed result at +/- 6c or more either side of firm with the best heavies least affected and averaging 180-186c +(4-6c) top 193c in southern markets. Yearling heifers 350-450kg were also a volatile market as the best heavies averaged a firm 171c top 175c at Dalby and an average 163-169c in other southern markets.

Typical PRIME Benchmark Prices

Steers over 500kg: Export steers took a big hit this week commonly dropping between -(4-11c) for reduced yardings. But where the numbers were largest so were the price falls. The 700 prime steers at Dalby were the hardest hit as buyers slashed -19c off last week’s values to average 162-169c, around -12c below the industry average for that grade elsewhere in southern markets, where prime steers averaged a firm 181-184c and a few grainfeds sold to 185c. Heavy steers at both Dalby and Roma took an -11c haircut to average 166c top 176c for Roma’s 700 head. In northwestern Qld, small numbers of heavy steers averaged 163c top 173c.

Steers 400-500kg  Heavy trade/feeder steers were mostly from firm to+(5-7c) dearer for good numbers, with some exceptions. Between 300-500 head at Gunnedah and Roma and a few at Toowoomba averaged 181-183c +(5-7c) top 199c, while some at Gunnedah and 400 head at Dubbo averaged a firm 176c top 187c. But heavies at Dalby lost -14c ave 170c top 189c.

Heifers over 440kg: Heavy heifers were mostly cheaper by -(7-11c) but heavies at Toowoomba averaged a firm 150 top 153c. Elsewhere the best medium and heavy heifers averaged 145-148c -(8-11c) at Roma and Dalby to a top 156c. At Dubbo, Gunnedah and Blackall heifers averaged 134-138c (f to -7c) top 159c.

Cows over 500kg: A good proportion of cows sold close to firm this week but at key sales like Dalby and Roma prices dropped by -(8-11c) to meet this week’s industry average. Heavy cows averaged 145-150c top 159c, while medium cows averaged 135-145c and light cows ave 120-130c. Medium and lighter cows tended firm.

Yearling steers 300-400kg: A very mixed result with some drafts gaining up to +6c, while others dropped -(6-10c), and heavies were least affected. The best heavies in good numbers averaged 180-186c +(4-6c) top 193c in southern Qld markets and at Gunnedah, while plainer types averaged 171-177c top 183-198c. The 200 Gracemere steers averaged a firm 153c top 170c.

Yearling heifers 350-450kg: Another volatile market with losses and gains of around 3-7c. The best heavies averaged a firm 171c top 175c at Dalby. Elsewhere in southern markets best averages ranged between 163-169c to tops in the 190’s. Roma reached 176c ave 160-164c (+2 to -4c), Gunnedah had nearly 600 hd ave 168c (+9c to -3c) top 199c. Gracemere’s 300 head averaged 143c (-5c) top 156c, while at Emerald, heifers reached 166c ave 155c (+7c).

 OS News:

With the world economy on life support and economists left with their final solution- “Throw big money at the problem”, it’s not surprising confidence and expectations at every level of every market are low and still falling. The cattle industry is no different. While statistics about prices, market trends and changes of every sort are proliferating; the simple fact seems to be that no one can have any idea where this downward spiral will end or when. The problems generated by a World economic crisis are too complex and interrelated for simple projections.

Pipelines and warehouses are emptying of beef at a rapid pace and that can’t go on forever without resupply, at some level, becoming necessary. However, the international credit squeeze on traders is unlikely to make a sudden “U” turn and until it does, that could remain an impediment to freeing trade. Also, fears for rising unemployment, cuts in consumer spending and of countries slipping into recession are building momentum rather than losing it. So, in a world of uncertainty, the one certainty emerging is that market volatility should be the order of the day well into next year.

PRIME & STORE SUMMARIES:

QCMI: (-4.1) This week 181.1 - Last week 185.2
Roma Store CMI: (-0.7) This week 100.7 - Last week 101.4

TOOWOOMBA: (10/11/08) District rain halved the yarding to 650 head (-660 hd) and more than half the draft were cows and grown steers. Steers recovered +10c of last week’s losses, cows were mostly firm to -4c easier for a few, and young cattle prices though mixed were +10c or more dearer for the best. The few prime and heavy steers over 400kg and over 500kg averaged 183c (f to +9c) top 189c. Heavy cows averaged 146-150c (f to -4c) top 153c, while medium weight and condition cows averaged a firm 139c top 143c. Light cows averaged 125-131c top 133c and the few boners averaged 108c top 114c.

A handful of yearling steers in heavy condition went to feed and slaughter ave 181c (+3c) to a top 197c for the prime types. Heavy yearling heifers to slaughter recovered +(10-15c) ave 171-178c, while medium types averaged 159-164c top 168c. A few medium calves sold to 198c.

ROMA (Store): (11/11/08) Numbers halved to 3900 head (-3400 hd) with mixed price signals throughout the sale. Feeder steers over 350kg improved +6c, but lighter steers lost as much. Light and weaner heifers gained +(10-14c) and heavier heifers got to within -4c of firm. Light cows recovered +9c but heavier cows dropped -12c. Steers over 350-550kg averaged 180-183c (+6c) top 195c, but steers 280-350kg eased -6c ave 174c top 195c. 400 light steers 220-280kg averaged a firm 180c top 203c, but weaners under 220kg dropped -7c ave 170c top 200c.

Heifers 350-450kg averaged a firm 164c top 176c, while heifers 280-350kg eased -4c ave 153c top 176c. However, the 800 light and weaner heifers under 280kg improved +(10-14c) ave 162-165c top 182c. Light cows 300-400kg recovered +9c ave 115c top 137c, while cows 400-500kg dropped -12c ave 125c top 137c and a handful over 500kg lost -21c ave 134c. 90 bulls under 400kg sold to 184c ave 160c (+13c), while bulls 400-600kg reached 155c ave 134c (+2c).

The Roma Store Market Index fell almost one point this week to 100.7 points.

DALBY: (12/11/08) Numbers increased after last week’s price recovery to 4150 head (+780 hd) to include nearly 1000 head of export grade steers but a reduced yarding of 300 cows. The main feature of this sale came as buyers decided to make Dalby a bell-weather market for export grades. They slashed close to -20c of 600 prime steers reducing their averages to 162-169c, which is -(10-15c) less than the average for similar quality steers at other major sales in the south, both before and after Dalby. Cows were also marked as messengers dropping by -(8-10c) to average 148c top 154c for heavies. Yearling steers sold between firm to +6c better but yearling heifers had mixed results up to -(6-9c) cheaper than firm. Restocker and slaughter calves were +(7-11c) dearer.

Grainfed export steers reached 186c ave 182-184c, while a few heavies averaged 162-164c -(11-19c) top 175c and a small number of heavy feeder steers averaged 176c (-8c) top 189c. Grown heifers in prime condition sold to 173c ave 170c. Heavy bulls over 600kg dropped -7c ave 151c top 158c while heavy and medium bulls under 450kg sold three ways ave 141-144c top 178c.

In the Yearling steer grades, heavy feeders over 330kg and over 400kg averaged 187c (+6c) and medium types averaged 177c (f to +3c). Under 330kg medium quality feeders and restockers averaged 186c (+3c) top 189c, while a few heavy feeders sold to 192c. Heavy yearling heifers under 400kg averaged a firm 172c top 180c to slaughter and feed, while medium types sold three ways ave 156-165c -(6-9c) top 184c for the youngest.

Medium restocker and slaughter calves averaged 197c (+7c) top 208c, while light slaughter types improved +11c ave 178c top 183c. Vealer steers in medium condition averaged 191c (+3c) top 197c to slaughter and feed, while restockers paid up to 229c ave 223c (+11c). Vealer heifers in heavy condition to slaughter averaged 190-197c (f to -8c) top 208c, while restockers under 280kg averaged 180c top 185c.

LONGREACH: (12/11/08) A moderate sized yarding of 1290 head (+60 hd) for this second last sale of the year and most of the draft were light young cattle or cows. Most cows were firm and up to +4c better, heavy feeder steers 400-500kg were among the few improvers lifting +3c ave 170c top 176c, but the remainder of the steers and heifers lost around -6c. The few heavy and medium steers over 400kg and over 500kg averaged 159-163c (-6c) top 168c, while light and weaner steers under 300kg averaged 160c (-6c) top 175c.

Medium and light quality heifers from 200kg to over 400kg averaged 143-148c top 158c, and a few light weaners under 200kg averaged 136c top 150c. Medium condition cows over 520kg averaged 145c (+4c) top 147c, while those 400-520kg averaged a firm 133c top 145c and light cows under 400kg averaged 97c (-4c) top 104c. Bulls over 600kg reached 126c ave 120c (-12c).

CHARTERS TOWERS: (12/11/08) Cancelled due to lack of numbers.

ROMA (Prime): (13/11/08) After last week’s strong market turnaround, numbers increased to 2000 head (+400 hd) but with the exception of trade steers and heifers that sold close to firm, sellers were disappointed as the market dropped around -10c.

Whether by design or coincidence, the same low average price of 166c, top 176c was recorded for all the steers over 400kg and over 550kg. Similarly, all the heifers above 350kg averaged the same 160c to tops of 171c. Of note is the fact that at Roma’s Tuesday store sale, double the numbers of steers 400-550kg sold for +17c more (ave 183c) than at this sale.

Cows lost -10c as those over 500kg averaged 145c top 156c and cows 400-500kg averaged 134c top 164c. 60 bulls over 600kg sold to 154c ave 142c (-15c), while bulls 400-600kg averaged 140c (+7c).

EMERALD (Store): (13/11/08) Numbers halved to 1150 head (-1150 hd) of mostly young or weaner types. The better quality offering was supported by stronger enquiry and values ranged from firm to +(7-10c) dearer.

A handful of steers over 400kg averaged 163c (+3c) top 170c and a few 320-400kg averaged 157c (-11c). All the younger steers topped at 202c as those 220-320kg averaged 182c (+8c) and weaners under 220kg averaged a firm 167c.

Heifers 220-400kg averaged 150-155c +(4-7c) top 166c, while weaner heifers under 220kg lifted +10c ave 147c top 161c. The two lots of cows and calves sold for $540 and $680 respectively per unit. Bulls under 450kg topped at 130c ave 112c.

BLACKALL: (13/11/08) Numbers reduced to 1130 head (-290 hd) with the majority being young cattle or cows. The few grown steers and heifers were firm to +8c dearer but all the cows dropped -(6-7c) and weaner steers and heifers were -(13-21c) cheaper.

The small number of steers over 400kg and over 500kg averaged 163c (f to +10c) top 175c, while all the steers under 350kg averaged 150-154c -(13-21c) top 167-171c. The few heifers 350-450kg recovered +8c ave 150c top 153c but young and weaner heifers under 280kg lost -17c ave 131-135c top 158c.

Cows over 500kg reached 148c ave 136c (-7c), while cows 400-500kg averaged 117c (-9c) top 139c. A few bulls over 600kg sold to 134c ave 114c (-16c).

GRACEMERE: (14/11/08) The larger draft of 2160 head (+470 hd) was comprised mainly of young cattle under 400kg with few grown steers, heifers and cows. The few steers and heifers over 400kg dropped -(4-13c) and the few cows remained firm but young cattle had mixed results.

Grown steers over 400kg and over 500kg averaged 162c -(4-9c) top 177c, while steers 300-400kg averaged a firm 153c top 170c. Steers 200-300kg topped at 187c ave 160c, which was firm for the heavier end but -13c cheaper for the lighter steers. The good number of weaners under 200kg averaged a firm 144c top 168c.

The 800 heifers between 200-400kg averaged 144c (f to -5c) top 179c, while weaner heifers under 200kg gained +5c ave 139c top 152c. Cows over 450kg reached 158c ave 142c (+3c) and bulls over 400kg and over 600kg averaged 133-138c +(7-15c) top 155c. A few cows and calves sold to $620 ave $490 per unit.

WODONGA: (11/11/08) Numbers doubled to 2500 head (+1350 hd) plus 1150 cows (+660 hd) on Wednesday but the market remained surprisingly strong with the majority of cattle selling close to firm and up to a few cents dearer in places. Vealers were scarce and within -3c of firm, heavy steers were also scarce and mostly +(2-5c) dearer, but yearlings were well supplied with heavies -(3-6c) under firm. There were a large number of heavy heifers that sold to meatworks from firm to +3c dearer. Meatworks bought the majority of heavy young cattle and feedlots were active on good numbers of secondary types.

The modest supply of heavy steers 500-600kg sold to 187c ave 174c (+2c) and a few prime bullocks over 600kg dropped -6c ave 169c top 189c. From the large draft of 1100 cows, heavies averaged a firm 143c top 155c, medium weight and condition cows averaged 135c (f to +3c) top 139c and light cows averaged 126-130c top 135c. The few boners averaged 123c. The 250 heavy grown heifers sold to 174c ave 158c (f to +3c), while medium types averaged 144c (+3c) top 155c. Bulls over 600kg in medium and heavy condition sold to 182c ave 172c (+3c).

Heavy yearling steers over 400kg went to slaughter ave 173c (-3c) top 182c, while a good number of medium quality steers 330-400kg went to paddock and feed for a firm average 171c top 183c. Feeders over 400kg in medium condition averaged 167c (+5c) top 194c while Y/steers under 330kg sold three ways ave 180c top 187c. Nearly 400 heavy yearling heifers over 330kg and over 400kg went to slaughter and feed ave 161-164c (f to -6c) top 184c, while medium feeder types under 400kg averaged 164c (-2 to +6c) top 168c.

Calves in medium condition went to slaughter and paddock ave 184c top 216c for the restockers. Prime vealer steers averaged 191c (-12c) top 198c, while medium and heavy types averaged 184-188c top 190c. A few prime vealer heifers reached 203c to average a firm 190-196c, while medium quality types under 280kg went to slaughter ave 182c (-2c) top 187c.

GUNNEDAH: (11/11/08) Numbers bounced back to 3230 head (+1650 hd) after last week’s rain reduced yarding and both quality and values were mixed. While much of the market sold within a few cents of firm, good numbers of mid-weight feeder steers and heifers improved +(5-9c) and cows were mostly close to firm, but heavy steers and heifers in modest numbers lost -(6-15c).

The few steers over 500kg and over 600kg averaged 170c -(8-11c) top 178c, while more than 600 trade/feeder steers 350-450kg lifted +5c ave 181c top 199c and plainer types averaged a firm 175c top 184c. Steers 250-350kg averaged 172c -(5-10c) top 198c, while a few weaners under 200kg sold to 218c. Splitter calves made to 189c ave 169c and a few vealer steers averaged 153c top 160c.

Heifers between 450-550kg averaged 158c -(6-15c) top 178c, while heifers 350-450kg averaged 168c (-3c) top 193c and 300 heifers between 300-350kg gained +9c ave 167c top 199c. Heifers 250-300kg averaged 155c (-2c) top 191c and a few weaner heifers under 200kg averaged 180c top 187c.

Cows mostly sold close to firm except for a few over 600kg that eased -6c ave 138c top 159c. But cows 500-600kg averaged a firm 134-138c top 146c and cows 400-500kg eased -2c ave 125-130c top 139c. Bulls over 600kg reached 172c ave 156c (-8c), while bulls 300-600kg averaged 145-149c top 158c.

DUBBO: (13/11/08) The yarding increased further on last week’s good numbers to 3300 head (+300 hd), and except for heavy grown steers, the market gave up most of last week’s gains. Prices dropped -10c on the small cow draft, -(5-10c) on yearlings and -9c on prime steers but the large number of heavy feeder steers and slaughter types remained firm.

Prime steers over 500kg and over 600kg averaged 176c (-9c) top 181c, while heavies 500-600kg averaged a firm 181c. 300 feeder steers 400-500kg averaged a firm 179c top 187c, while medium feeder and slaughter types averaged 164c -(5-10c). Cows over 520kg in heavy and medium condition averaged 142c -(5-11c) top 149c, while in the 400-520kg range, medium types averaged 133c (-11c) top 139c and light cows averaged 126c (-8c). More than 200 head of heavy grown heifers under 540kg averaged 158c (-7c) top 170c, while light types sold three ways ave 132c (-11c) top 146c. Heavy bulls over 600kg reached 169c ave 159c (-5c).

With one exception yearling steers in heavy and medium condition, at all weights, averaged 173-175c (f to -10c) top 185c to paddock and feed. A good number of restockers under 330kg were the exception ave 181c (-5c) top 200c. Yearling heifers were in small numbers and mostly went to slaughter as heavies over 330kg averaged 165-169c -(3-6c) top 190c and a few heavies under 330kg averaged a firm 171c top 184c. Vealers were relatively few and restocker V/steers reached 202c ave 196c, while heavy vealer heifers went to slaughter ave 190c (-9c) top 196c and medium types ave 181c.

OTH Rates:

OTH prices closed the week unchanged after starting -(10-20c) under the previous week’s close. In the past month of continuous price cuts this means that around -50c (14%, $165/hd) has been sliced off heavy steer quotes and -30c (9%, $80/hd) off cow quotes. As of today top Jap steers remain at $3.00. Two tooth steers are $3.30. Heifers are -5c less. Heavy cows are $3.00. Best 220-240kg cows are $2.80. Top EU steers are $3.60 (but quotes are hard to get). Bulls at best are $2.65. The 100-day grainfed steers, 4t, are $3.50, with heifers -5c less and 2t 100-day steers are $3.50. 70-day 2t steers are $3.45. You can always find a similar OTH summary to this on the Cattlefacts.

Steers (400-550 kg)

Heifers (440 kg plus)