Little direction in livestock markets
3/07/2009
For the second week running, livestock markets remained stable, representing a pause in the seasonal rise in cattle values, and suggesting that the seasonal winter peak may have been reached for sheep and lamb prices.
The contrast between the beef and sheepmeat categories remains stark, with lamb and mutton prices buoyant and well above recent years, while cattle prices remain weak, considering the recent rains and year-on-year fall in the A$.
Lamb prices rose slightly for heavier finished categories this week, but fell slightly on lighter categories, leaving trade and heavy lambs up around 10% on last year and light categories over 20% higher. Lamb prices continue to be buoyed by lower numbers and strong export demand.
After reaching a record 306¢/kg cwt two weeks ago, the national mutton price indicator retreated a further 11¢ this week, to 289¢/kg cwt – still 50% higher than last year. These values are still remarkably high and reflect the lack of cull ewes and wethers left on farms, the recent southern rains and continued strong live sheep and mutton demand from the Middle East.
For cattle, while the EYCI lifted 3¢ this week, other categories fell 2-5¢/kg cwt, as continued weak export interest and a rising A$ most offset any benefit of the recent rains.
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