Cattle supply starts to ramp up

Cattle supply starts to ramp up

Analysis
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Autumn's arrived and cattle producers who were holding out have hit the button.

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Autumn's arrived and cattle producers who were holding out have hit the button.

Cattle supply has ramped up, as a dry summer and the spectre of a dry autumn sees the Eastern Young Cattle Indicator (EYCI) heading back toward 400 cents.

For the first time since late 2014, you could buy restocker steers in NSW for just a smidgen above 200c. This used to be a good price. It’s the first time in three years cow prices have been below 150c/kg lwt.

Compared to restocker steers, it’s still not a bad price. But compared to the beef they become, the 90CL frozen cow indicator, which sits at 644c/kg cwt, cows are very cheap.

Slaughter rates appear to have strengthened and are afflicting cattle markets. Heavy slaughter cattle prices started easing in line with young cattle and cows.

Heavy steers lost 50c on average last week and the National Indicator broke through key support to hit 443c/kg cwt.

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