Farrow-to-finish margins turn positive

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Market Increase Farrow-to-finish margins turned positive last week, finishing the week ending January 24 at $3.54, compared to negative $4.74 the previous week, negative $16.18 one month ago and negative $13.01 at this time last year, according to the Sterling Pork Profit Tracker. Lean hogs improved $1.29 last week and finished the week at $81.19. Feed costs were more than $2 to $89.35.

Pork packer margins declined last week to $2.27 compared to $4.90 the previous week and $4.06 one month ago. The pork cutout value stayed steady at $85.54 last week, compared to $82.85 one month ago and $84.63 at this time last year.

The Sterling Pork Profit Tracker for the week ending January 24:                                          

  • Average farrow-to-finish margins: 3.54 per head.
  • Average pork packer margins: $2.27 per head.

The cattle and beef market rallies continued the week ending January 25, according to the Sterling Beef Profit Tracker. Feeder margins climbed nearly $47 last week to $182.52. Last year at this time, feeders were experiencing negative $141.99 per head margins. Feed costs increased $3.29 over the week while total costs were down more than $16. Fed steers climbed more than $5 last week to $148.42. Fed steer prices are up more than $15 compared to last month. After reaching $166.80 per hundredweight the previous week, feeder steers dropped to $164.40.

Packer margins increased nearly $70 last week to $121.53, compared to $51.97 the previous week, negative $59.33 one month ago and negative $44.22 one year ago at this time. The beef cutout value increased by $13.90 last week to $237.97.

The Sterling Beef Profit Tracker for the week ending January 25:

  • Average feeder margins: $182.52 per head.
  • Average beef packer margins: $121.53 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.

 



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