ANGUS prices have continued their downward trajectory, with several southern feedlots not issuing quotes this week and grids down 10-20c on the past fortnight.

Feedlot buyers who spoke to Beef Central this morning were quoting Angus prices between 480-490c/kg – the first time all quotes have been below 500c since July.

The Angus market increased quickly earlier this year, going from about 500c to 550c/kg between August and September, before dropping 50-70c over the past month. Southern crossbred (no indicus) appear to have followed Angus prices, with two quotes of 450c/kg.

While the Darling Downs flatback market has been a little steadier than the Angus market, grids are still down on the past fortnight. Beef Central was given quotes between 450-465c/kg for 400kg+ flatback feeder steers out of the paddock – which is down 10-20c.

Meat & Livestock Australia’s saleyard-based feeder steer indicator has been dropping steadily over the past month, peaking at 486c/kg in September and opening this week 452c/kg.

In early sales this week, Wagga saw a reduction in numbers after softer prices last week with 3800 penned. NLRS reporter Leann Dax said there was softer demand from feedlots, but plenty of restocker interest.

A sample of 563 heavy feeder steers gained 13c to average 470c/kg. Numbers were steady at Tamworth, with 164 feeder steers losing 11c to average 463c/kg.

Roma Saleyards is looking at a week-on-week increase in the numbers tomorrow, with 7600 on the draw. That is up from the two previous sales of 6000 head, but down from 9000-10,000 head they have seen regularly over the past couple of months.

Numbers of feeder cattle are still coming forward. Most northern lotfeeders say they are now taking bookings for either late November or early December. Several southern yards are not quoting cattle this week and are booked forward for weeks.

All eyes are on the weather, with many in Queensland looking for some rain after a hot and dry start to spring.

Most buyers said they are not seeing many in the north sending big numbers to account for the dry weather, with storm rain around last week and more on the forecast this week.

Positive outlook for the feeder market

Moree-based Ottley Capital director Antony Glynn said while the market was on a downward trajectory at the moment, there was still a positive outlook.

“If you look at the restocker price of Angus and the feeder price, it is pretty close to parity – they are both around 480c/kg,” Mr Glynn said.

“There won’t be as many cattle around the feedlots in January as there are now and I think we will see the price go the other way. There is nothing keeping it down, meat price is good, grain prices are subdued or cheaper and the one variable is cattle supply.”

Much of the selling out of the Northern New South Wales has been seasonal turn-off, with oats crops being closed out and mixed farmers selling before grain harvest.