September 29, 2008

Australia's livestock prices have weakened due to ample supplies in a seasonal trend.

Increased spring yardings and mixed stock quality have pushed down prices from their annual August/September peaks.

Cattle yardings increased 18 percent last week, up 23 percent from last year. The seasonal increase was boosted by producers chasing current high prices and hotter weather which extends the drought in the southeast.

Grown steer numbers also soared 30 percent last week, and the national Japan ox indicator fell 2.5 percent in response. Exporting processors are also keeping an eye on the Australian dollar, which increased value by 5 percent. That may explain the 5 percent drop in the national cow price indicator, but Japanese ox and cow prices are still 17 percent and 25 percent above a year ago, respectively.