As packer margins continue a positive trend, improving another $12 last week, feeder margins dropped off more than $50 according to the Sterling Profit Tracker.
After reaching $123 two weeks ago, feeder margins fell $50.42 and settled at $72.51 for the week ending November 9. Despite the drop last week, feeder margins were $16.57 per head better than a month earlier and $160.48 better than the negative $87.97 at this time last year. While feed costs only dropped $0.30 last week to $336.32, they are $166.04 lower compared to last year at this time. Total cost was up $8.17 last week.
Packer margins continue a march toward the black as they improved $12.33 last week to negative $25.74 per head compared to $38.07 per head the previous week. According to Sterling Marketing, Inc., packer losses were $58.57 one month ago and $88.59 one year ago.
Packers’ price for choice steers fell $1.38 to $131 last week compared to $132.38 the previous week. The beef cutout value remained above $200, finishing the week at $200.54, a $0.21 increase compared to the previous week.
Pork producer margins finished the week ending November 8 at negative $12.63 compared to negative $10.31 the previous week, according to the Sterling Pork Profit Tracker. Producer margins were negative $0.21 per head one month ago and negative $23.33 at this time last year.
Feed costs were down more than $2 last week to $85.85. Total cost fell to $142.31 per head last week compared to $144.43 the previous week, $149.85 last month and $187.68 one year ago.
Pork producers’ profits fell to $83.25 last week. While down from the previous week by $3.33 and from last month by $9.50, pork producers profits last week were $2.24 better than a year ago.
Packer margins finished the week ending November 8 at $15.38 compared to a negative $1.21 one month ago. Pork prices increased $0.33 last week and finished the week at $94.25.
The Sterling Beef Profit Tracker for the week ending November 9:
- Average feedyard margins: $72.51 per head.
- Average packer margins: -$25.74 per head.
The Sterling Pork Profit Tracker for the week ending November 8:
- Average farrow-to-finish margins: -$12.63 per head.
- Average pork packer margins: $15.38 per head.
The Sterling Beef and Pork Profit Trackers are produced by Sterling Marketing Inc. and John Nalivka, president, Vale, Ore., and are published weekly by Drovers/CattleNetwork, and PorkNetwork.