Weekly Cattle Comments - 19.11.21

The remarkable young cattle market went to another high this week, as recent rain, especially through Queensland, bolstered sentiment and continued to stoke restocker demand. With supply impeded by rain and logistics, total AuctionsPlus offerings were down 10% on last week, at 14,968 head. The sharpest contraction was observed through the young heifer lines, with the 330-400kg category back 59% on last week.

What has been just as outstanding as the actual price received for young cattle has been the increasing frequency at which milestones have been passed, with the EYCI going through 1,100c/kg this week. As previously analysed by AuctionsPlus in late July, the EYCI first broke through 700c on August 9, 2016. Exactly 1,535 days later it cracked 800c barrier on October 22, 2020. The next milestone, at 900c, was exceeded on 14 April 2021 - only 174 days later. In late July, most thought that the final milestone had been reached, breaking through the 1,000c barrier on 22 July – taking only 99 days. This week’s new record, exceeding 1,100c/kg on 17 November – was slightly slower, at 118 days – but nevertheless given the increasing degree of difficulty with each new higher milestone, an astonishing result!

Table 1: AuctionsPlus National Weekly Cattle Prices
Table 2: AuctionsPlus Queensland Weekly Cattle Prices
Table 3: AuctionsPlus Angus Weekly Cattle Prices

Overall AuctionsPlus results this week were mixed, albeit with clearance rates for the lightest steer lines continuing to exceed 95%. Heavy steer prices bounced back this week, after a second week of reduced numbers, with 400kg+ steers jumping $207 on last week, to finish at $2,467/head – equating to 550c/kg liveweight. Even with the exceptional clearance rates and robust demand, prices for the lightest steers eased $118 and $103/head, respectively, with an increased supply of dairy influenced lines in the southern sales impacting overall averages.

For the young heifer market clearance rates were also somewhat mixed, with numbers well back through the mid-weight categories. 200-280kg heifers averaged $12 lower on last week, at $1,718/head, while 280-330kg lines jumped $50 higher, to average $1,931/head.

A 35% contraction in the supply of PTIC heifers this week failed to stop a price decline, back $115 on last week, to average $2,732/head – with a 75% clearance rate for the 1,003 head offered. Utilising movement data, the majority of the PTIC purchases are headed towards the northeast corner of NSW. With very thin numbers through most of the breeding lines reported, prices were varied, with the 777 PTIC cows offered selling to a 77% clearance rate – averaging $154 higher on last week, at $2,879/head.

AuctionsPlus Weekly Cattle Summary – w/e Friday 19th November, 2021