The Eastern Young Cattle Indicator (EYCI) is continuing to rise after Wednesday’s monumental peak of 600c/kg cwt.
It rose a further 0.75c yesterday to set a new record of 600.75c/kg cwt and this morning’s strong sales could push it even higher.
The recent rain throughout Queensland, although not drought breaking, was enough to encourage farmers with remaining livestock to hold on to them a little longer.
Steven Goodhew of PJH Livestock & Property says while the high price is good for sellers, it’s not so great news for buyers.
“Very strong, cows and calves over $2000 and breeder cattle look to be in high demand,” Mr Goodhew says.
“The market dictates what the market is doing and the indicator is rising which is very strong but it’s just supply and demand that’s what it comes back to.”
He says genuine breeder cattle are going to be very dear and very hard to find.
“It’s pretty hard if you’re trying to restock.”
Farmers across the state have been planting seedlings and last week’s rain helped in their development but in another week those who only received marginal rain will be struggling again.
“The majority have had good rain and a break in the season, but we need a follow up because a lot of people haven’t had a break yet,” he says.
The poor Australian dollar mixed with that recent rain are both contributing to the rising indicator.
This week is the first time in history the national indicator has reached 600 and further rain this weekend could see it climb further.
So farmers with cattle left over could strike an even better deal at the sales next week.
Medium cow prices also rose 1.3c yesterday with lamb and mutton prices both declining.