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Record high WYCI overtakes eastern indicator
25 February 2021
Key points:
- The Western Young Cattle Indicator (WYCI) has broken the 900¢/kg barrier for the first time to outperform the EYCI by 41¢/kg and move into record territory
- The indicator has lifted 294¢/kg or 47% over the past 12 months
- Smaller yardings in February squeeze supply
The Western Young Cattle Indicator (WYCI) broke 900¢/kg for the first time last Thursday, up 81¢/kg from the week prior. This is the first time the indicator has reached these levels and is sitting at 924¢/kg, as of Wednesday 24 February. Smaller yardings of young cattle throughout February pushed the prices to these new levels, causing the limited supply to place upwards pricing pressure on young cattle.
Although the season has been poor for many key cattle producing regions in WA compared to the eastern states, demand continues to hold firm. This strong demand is particularly prominent in the feeder cattle category. Feeder cattle have dominated recent yardings, accounting for 89% of the past week’s WYCI eligible cattle.
Demand from NSW restockers for lighter cattle, and feedlot buyers from both WA and SA purchasing heavier weights, has driven these young cattle prices higher. The medium-term outlook for the cattle market is looking positive due to the confidence of the NSW restocker market and feedlot buyers paying high prices.
Continuing a trend that has occurred all summer, buyers are prepared to pay for quality stock.
© Meat & Livestock Australia Limited, 2021
