After reaching $124.67 one month ago, feeder margins dropped to $45.36 the week ending Nov. 23, 2013. Feeder margins were $84.63 one week ago and negative $67.07 at this time last year, according to the Sterling Beef Profit Tracker. Feed costs increased $0.15 last week to $333.63. Compared to one year ago, when feed prices were $501.76, prices have decreased by more than $168. Total cost was down $8.40 compared the previous week, finishing the week at $1,735.78. Both fed cattle and feeder cattle were down last week, finishing the week at $131 per hundredweight on the fed cattle side and $164.93 for feedlot placements.
Packer margins fell deeper in the red last week, finishing at negative $53.23 compared to negative $30.71 the previous week and negative $50.06 one month ago, according to Sterling Market, Inc. The beef cutout value fell for the second straight week, closing out the week at $196.32 compared to $198.75 the previous week. Despite the drop, the cutout value is $7.38 higher than it was one year ago at this time.
The farrow-to-finish margin finished the week ending Nov. 22, 2013, at $25.44 compared to negative $21.37 the previous week and negative $9.88 one month ago. At this time last year, the farrow-to-finish margin was negative $41.65 according to the Sterling Pork Profit Tracker. Lean hogs were down $2.47 to $80.10 compared to $82.57 the previous week, $88.46 one month ago and $77.18 one year ago. Feed costs decreased nearly $4 to $84.89 last week, and total costs were down $4 last week to $141.34.
Packer margins increased last week, finishing the week ending November 22 at $20.90 compared to $15.48 the previous week and $5.34 one month ago. The pork cutout stayed steady last week, finishing at $93.34 for two consecutive weeks.
The Sterling Beef Profit Tracker for the week ending November 23:
- Average feeder margins: $45.36 per head.
- Average beef packer margins: -$53.23 per head.
The Sterling Pork Profit Tracker for the week ending November 22:
- Average farrow-to-finish margins: -$25.44 per head.
- Average pork packer margins: $20.90 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.