The Eastern Young Cattle Indicator (EYCI) is continuing to rise after yesterday’s monumental peak of 600c/kg cwt.
It rose a further 0.75c today to set a new record of 600.75c/kg cwt.
The recent rain throughout Queensland, although not drought breaking, was enough to encourage farmers with remaining livestock to keep them.
Jim Geaney of Geaney’s Real Estate and Livestock says the rising prices are a double edged sword, while good for some, it could be crippling for others.
“It means for any farmers that have any livestock left after this prolonged drought will be riding on a wave of good prices but anyone that has to restock and purchase cattle…they’re going to be very concerned,” Mr Geaney says.
“In Queensland you’ve got 86 per cent of the state is dry…and now we’re in a heat wave situation which is causing a lot of concern and drying off the country.”
Farmers across the state have been planting seedlings and last week’s rain helped in their development but Mr Geaney says in another week those who only received marginal rain will be struggling again.
Yesterday was the first time in history the national indicator had reached 600 and further rain this weekend could see it climb further.
“It’ll keep on going up if the value of the dollar keeps on coming down and we get more rain,” he says.
“There will come a time when graziers, when they’ve got to market cattle, will say geez this is good enough for me, I’m going to take some of this because I’ve got bills to pay.”
So farmers with cattle left over could strike an even better deal at the sales next week.
Medium cow prices also rose 1.3c today with lamb and mutton prices both declining.