Negotiated cash cattle decreased $3 the week ending Feb. 22 and feedlot margins decreased $41 per head to an industry average of $237.36 per head, according to the Sterling Beef Profit Tracker. Meanwhile, beef packers saw losses of $195.60 per head. That puts the packer/feeder margin spread at $433 per head in favor of the feeder.
Cash cattle averaged $199.87 per cwt. the week ending Feb. 22, while Comprehensive Beef Cutout prices posted a $6.84 per cwt. decrease to close at $317.56 per cwt.
Cattle marketed last week carried a total feed cost of $480.49 per head, about $112 more than feed costs for cattle sold the same week a year ago.
Cattle placed last week are calculated to have a purchase price for 750-800 lb. feeder steers at $269.38 per cwt., down $4 from a month ago.
The estimated total cost for finishing a steer last week was $2,834 per head, up from last year’s estimate of $2,502 per head.
Fed cattle slaughter totaled an estimated 453,778, down 22,438 head from the same week last year. Packing plant capacity utilization was estimated at 77.8%, down from 81.3% last year.
View the full Sterling Beef Profit Tracker for the week ending Feb. 22.
Farrow-to-finish hog producers found positive margins of $49.50 per head last week, up $5 from the previous week, according to the Sterling Pork Profit Tracker. A year ago, those margins were at -$4.47. Lean carcass prices averaged $90.94 per cwt., up slightly from the previous week.
Hogs placed for finishing last week had a calculated breakeven price at $79.78 per head.
Pork packers saw average losses of $1.41 per head, down $8 from the previous week. Last year pork packer margins were $27.76. Market hog slaughter was estimated at 2.470 million head, up 295,348 head from the same week last year.
Pork packer capacity utilization was estimated at 94.2% compared to 83.0% last year.
View the full Sterling Pork Profit Tracker for the week ending Feb. 22.
The Beef and Pork Profit Trackers are calculated by Sterling Marketing, Vale, Ore.
(Note: The Sterling Beef Profit Tracker calculates an average beef cutout value for the week in its estimates for feedyard and packer margins. Other prices in the weekly Profit Tracker also are calculated weekly averages. Feedyard margins are calculated on a cash basis only with no adjustment for risk management practices. The Beef and Pork Profit Trackers are intended only as a benchmark for the average cash costs of feeding cattle and hogs. Sterling Marketing is a private, independent beef and pork consulting firm not associated with any packing company or livestock feeding enterprise.)
