The Eastern Young Cattle Indicator (EYCI) fell 4.5% this week. It dropped from 871¢/kg liveweight (lwt) to 832¢/kg lwt. The fall was most obvious in prices processors were paying for young cattle − on average 773¢/kg lwt and a 6% reduction on week ago prices. This indicates processors prefer heavier and older animals – allowing them to harvest more meat per animal.

Global cattle prices converge

Cattle prices are tracking well above year-ago levels, with young cattle maintaining a premium to their finished counterparts.

Over-the-hook (OTH) cattle indicators gained momentum this week, following tightened supply resulting from widespread rainfall across many parts of the eastern states.

2019 prices for both cattle and sheep have been quite inconsistent, with each of the markets fluctuating week-to-week. Adverse conditions continue to dent market confidence and slaughter remains high.

Cattle prices have trended down in 2018 with drought conditions putting increased pressure on the market. However, some states have been more stable than others.

For the week ending Tuesday, the Eastern Young Cattle Indicator (EYCI) improved 10¢ on the week prior, to average 488¢/kg carcase weight (cwt), back 1% on year-ago levels.