Market Morsel: Stand down
Mid-July saw reports of Foot & Mouth Disease (FMD) concerns encouraging cattle producers to offload stock leading to some softening of prices. However cattle markets seem to have found a base in the last week or so with the EYCI back above 900 cents (926c/kg cwt as of 9/8/22) and the National Heavy Steer Indicator lifting 70 cents from mid-July to trade at 436 c/kg lwt, as of 9th August.
The weekly throughput numbers show that the increased cattle volumes in mid-July were mostly a Queensland phenomena with weekly volumes peaking over 28,000 head. Currently, weekly cattle throughput in Queensland is back 14% under the five-year average trend for this time in the season at 14,767 head (for the week ending 5th August).
Saleyards in NSW saw a slightly less dramatic lift in cattle throughput numbers in mid-July with volumes lifting from around 8,500 head to nearly 15,400 head before settling back to 8,000 head last week. All the while NSW cattle throughput remained under the five-year average trend.
Meanwhile, Victorian cattle throughput maintained a softening trend over July with volumes as at the week ending 5th August at just 3,870 head, representing a level 33% under the five-year average pattern for this week in the season.