Profit Tracker: Hog Rally Continues, Beef Declines
By Greg Henderson, Drovers
April 28, 2021
Cattle prices declined more than $1 per cwt. last week, but the hog market rally continued. Hog margins were positive for the 12th consecutive week, according to the Sterling Profit Tracker.
Cattle feeders saw average profits of $227 per head last week, according to calculations by Sterling Marketing. Average closeouts saw total costs for finishing a steer about $52 per head lower than the previous week at $1,467, most of that due to lower feeder cattle prices factored into the analysis. Total finishing costs were $131 per head lower than last year.
Packer margins gained $67 per head to an average of $673…
... Farrow-to-finish pork producers saw their margins gain $11 per head with positive margins for the 11th consecutive week and total profits of $98 per head. Hog profit margins have increased $32 per head over the past month.
Lean carcass prices traded at $111.48 per cwt., an increase $5.95 per cwt. from the previous week, and $15 per cwt. higher than a month ago. A year ago pork producers lost an average of $49 per hog.
Pork packers lost an average of $4 per head, down from a profit of $4 per head from the previous week and $67 per head lower than last year. Pork packer capacity utilization was estimated at 87.8% compared to 70.1% a year ago...
more, including links to Sterling Beef & Pork Profit Trackers