Weekly Cattle Comments -19.8.22

In what was almost a carbon-copy of last week’s commercial cattle auctions, seasonally low offerings and ferocious competition spurred prices higher across most categories this week, with the 5,298 head offered up 3% on last week. However, context in livestock markets is crucial, and this week’s offering was 69% and 60% below the corresponding weeks in 2021 and 2020, respectively.

The “wait-and-hold” approach was maintained for the second consecutive week, as further wet conditions through many parts of southeastern Australia bolstered the eagerness for spring heat and pasture growth. Illustrating the turn in the market sentiment, the average selling price above reserve hit $209/head this week, with an 82% clearance rate - just down on last week’s $213/head and 94% clearance rate. To put into context, for the week ending July 1st, the 61% clearance rate resulted in final sale prices exceeding reserve by only $87/head.

All young steer prices kicked higher again this week, with a smaller, but comparatively even offering across the four main categories. 200-280kg steers averaged $1,702/head, up $97 on last week, with a 95% clearance rate for the 649 head offered. From Hannaford, Queensland, a line of 77 Angus steers aged 7-10 months weighing 260kg lwt, returned $1,970/head.

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

The offering of 643 head of 280-330kg steers sold to rampant bidding, hitting a 96% clearance rate, with prices kicking $206 on last week, to average at $2,003/head. A similar size offering of 626 head of 330-400kg steers hit a 92% clearance rate for the week, averaging $85 higher, at $2,133/head. From Gerogery, NSW Riverina, a line of 45 12-13-month-old Poll Hereford backgrounder steers, weighing 366kg lwt, returned $2,240/head and will travel to a buyer in Irrewarra, Victoria. Another highlight for the category came from the Tasmanian cattle sale, with a line of 28 Angus steers from Calder, NW Tasmania. Aged 10-14 months and weighing 333kg lwt, the steers returned $2,230/head - $400 above their reserve price to a buyer in Smithton, Tasmania.

While the feeder steer clearance rate was down compared to its lighter compatriots, at 72% for the 425 head offered, it failed to hold down the price surge, averaging $151 higher on last week, at $2,369/head. Topping the market was a line of 465kg Angus steers from Cootamundra, NSW, aged 18-19 months and returned $2,690/head – headed to a buyer in SA.

Compared to the young steers, it was a more volatile market for the young heifers this week, with large movements in both directions. 200-280kg heifers averaged $217 lower on last week, at $1,358/head, as breed and location impacted the final average. The 700 head offered sold to a 90% clearance rate and ranged from $960-$1,625/head. A line of 80 Angus/Droughtmaster heifers from Mitchell, Queensland aged 6-10 months and weighing 272kg lwt returned $1,625/head.

Numbers were significantly lower for the remaining young heifer categories. One feature for the week was the sale of a large run of 103 Angus heifers aged 13-14 months and weighing 302kg lwt from Thallon, Southern Queensland. These potential future breeders returned $2,610/head - $600 above their reserve price to a buyer from Mitchell, Queensland.

A very thin market of PTIC heifers were offered this week, with the 359 head recording a 57% clearance rate at the immediate closure of the auction. Prices for the week averaged $31 cheaper on last week, at $2,527/head. From Cooma, NSW, a line of 41 PTIC Angus heifers aged 23-24 months old and weighing 462kg lwt returned $3,180/head – set to travel to Forbes, Central Western NSW.

PTIC cows sold to steady demand, with prices averaging $89 higher on last week, at $2,405/head – with a 56% clearance rate for the 449 head offered. A line of 17 three-year-old Angus PTIC cows from Naracoorte, SA, weighing 523kg lwt, returned $3,060/head - $600 above their reserve price to a buyer in Moutajup, Victoria.

From Henty in the NSW Riverina, a line of 78 station mated Angus cows, aged 38-39 months, and weighing 497kg lwt with CAF, returned $4,500/head. They will take a short trip over the Murray River to a buyer from Wodonga, Victoria.

NOTE: Prices as at 2pm, Friday 19^th August 2022