THE cattle market appears set to smash through record values set at the end of September.
At the close of trade on Tuesday, MLA’s key Eastern Young Cattle Indicator stood at 590.75 points dressed weight. That’s only five points off the 595.25 record set on September 29.
It follows a plunge which saw the EYCI bottom out on just 517.75 points on October 20 when big numbers, hot weather and processor resistance to increasingly strong prices combined to slow the market.
Since that time the market has rapidly made up lost ground with many producers holding back cattle in response to the falling market.
Elders livestock manager Cameron Wilson said the market had reacted to the limited numbers of cattle.
“The general shortage of cattle and storm rains has seen the market rebound back to where it was a month ago,” Mr Wilson said.
“The reality is there are just not the cattle about.
“When it does rain and the season fills in, all indications are the market will become much, much better.
“That said we need proper rain and not just storms.”
The once again rapidly rising market prompted a near doubling in the size of the yarding at the Roma store sale on Tuesday. This week the combined agents offered 5526 head compared to 2800 head last week.
Weaner steers in the 220-280kg range averaged 335c/kg live while lighter steers under 220kg averaged 341c. Feeder steers weighing 400-550kg averaged 318c.
Roma agent Cyril Close, TopX, said Tuesday’s sale was close to one of the dearest markets he had experienced in his lifetime.
“The heifer market was a stand-out and proved a real battle between backgrounders and lotfeeders,” Mr Close said.
“Ultimately, there is a shortage of cattle which is seeing five and six people bidding on each pen of cattle.
“I wouldn’t call it a frenzy but it wasn’t to far off that.”
Mr Close said it was unclear how many cattle would be offered at Roma next Tuesday given the chance of rain in coming days.
Taman and Cass Sorensen, Westerdale, Injune, sold 26 454kg Brangus steers at Roma for 332c to return $1509/head.
The Sorensens run a trading operation on Westerdale, west of Injune, where they have received about 100mm of rain during the past fortnight. Mr Sorensen was impressed with the strength of Tuesday's market.
"It's just really nice to pick the market for once," he said.
The strength of the market was also evident in the north at Charters Towers where for the first time steers cracked 300c/kg live. Johnny Mather and Therese Lymer, The Bluff, Charters Towers, sold medium-weight Brahman-cross steers for 300.2c.
