November Florida Cattle Market Price Watch

by | Dec 11, 2015 | Beef Cattle, Economics, General Agriculture, Livestock, Market

Prevatt FL Cattle Market headerChris Prevatt, UF/IFAS Livestock Economist

Prevatt Nov Chart 1The August 2016 Feeder Cattle futures contract declined by $16.38/cwt. during November. Based on this futures price decrease, August Feeder Cattle revenues decreased by approximately $122.85/hd. ($16.38/cwt. *7.5 cwt.) on a 750-pound feeder steer which amounts to $8,190 per truckload (50,000 lbs.). The August Feeder Cattle futures contract low, contract high, and price range since September 2015 are $159.98, $188.70, and $28.72/cwt., respectively. The price range of $28.72/cwt. on a 750-pound feeder steer totals $215.44/hd. and $14,362.50 per truckload.Prevatt Nov Chart 2

  1. The breakeven price was estimated to be $768.00/hd. or $146.29/cwt. ($768.00/hd. divided by 5.25 cwt.). The breakeven price includes production costs of $750/hd. and death loss of $18.00/hd.
  2. The price objective was estimated to be $918.00/hd. or $174.86/cwt. ($918.00/hd. divided by 5.25 cwt.). The price objective includes production costs of $750/hd., death loss ($18.00/hd.), family living withdrawal ($100/hd.), and growth capital/retirement ($50/hd.).
  3. The expected cash price is equal to the daily August 2016 Feeder Cattle futures closing price plus an expected August 2016 South Florida 525 lb. Feeder Calf Basis of -$2/cwt.

 

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