As expected, cattle supply increased this week after a dearer week previously. Supply increased generally by 15-25 per cent across most markets.
The exception was Wagga Wagga, Monday, where supply lifted 34pc, which was mostly yearling steers.
Competition was mostly similar, but quality changes aided some lowering of prices, while price trends across all the regular markets varied greatly.
Such a big increase as seen at Wagga Wagga would normally have an affect on other prime markets, but with the larger number being yearlings, and generally of plainer quality, processors had few opportunities.
Having just finished two weeks of annual calf sales in the north east, and higher prices being achieved, restockers and some feedlots turned to Wagga Wagga to secure some cattle at lower prices.
While this was the case, compared to the previous week, steer and heifers prices were dearer. All of this interaction aided some price increases for processors as they tried to secure supply.
Processors had a larger supply of good quality vealers to select from, and with some of these being particularly heavy, especially in the south, prices varied from unchanged to 10c/kg lwt cheaper.
The best quality calves sold from 335c/kg to 372c/kg with some of the higher prices directed toward lighter weight calves.
Prices for steers to return to the paddock ranged mostly between 340-412c/kg, while feedlots were more inclined to pay from 340-375c/kg lwt.
Being into the second full week of trading, and with more markets coming on board, the EYCI figures have more relevance. At the close of trade Monday evening, the EYCI was 645c/kg, a rise of 5c/kg carcase weight.
Grown steers and bullock supply indicates that supply may already be short. Add to this, one processor trying to purchase supply over the phone, unsuccessfully, and losing a day’s kill, leads toward this early assumption.
Generally prices were very similar to the previous week with grown steers selling from 305-345c, and bullocks from 295-334c/kg.
However, some variations were seen between the different markets.
Cow supply increased too, and with the very good season aiding higher weights, and fat cover, the volume of better quality beef cows improved.
This did lead to some decrease in prices with weight and fat cover affecting some results.
However, with many cows selling from 230-276c/kg the level of price averages across all markets was similar to the previous week. lean dairy cows sold mostly from 186-245c/kg.