Sheep Industry News July 2023

middle of the downward trend. Thus, in the coming months, it will be particularly interesting to watch how this market works through the summer. That is, does it follow the previous five-year trend, last year’s trend or neither. In New Holland, Penn., 100- to 150-pound slaughter lambs have been steady and averaging $269/per cwt. during the last few weeks, and started June at $290/per cwt. With steady to higher slaughter prices, feeder prices have had mixed signals. In the three-market average of Colorado, South Dakota and Texas, feeders bottomed out midway through May at $152/per cwt., then increased for two consecutive weeks to $180/per cwt., before fall ing to $174.57/per cwt. midway through June. While prices are below the previous five-year average ($200/per cwt.), prices are still counter to what happened last year. Last year, the average price in the three markets was in the middle of nine weeks of consecutive price declines. In Columbia, Tenn., 30- to 40-pound feeders remained steady at $235/per cwt. If slaughter prices continue to be steady to higher in certain markets, feeder prices could see the same up swings as we work through the summer. WOOL Through May, wool prices across all microns have had consecu tive months of decreasing prices due to weak buyer demand in the face of large supplies, economic uncertainty and strengthening of the Australian dollar. While April and May had consecutive price

decreases, in the first week of June, American wool prices across all mi crons went up in U.S. dollar terms by 2.8 percent to an Eastern Market Indicator of 366 USc per lb. Notably, the Australian dollar strengthened by the same 2.8 percent. The coming weeks will signal if prices have found a floor. One the biggest drivers that impacts the U.S. wool market and the EMI is the U.S. Dollar- Australian Dollar exchange rate. The chart be low displays the exchange rate. It shows the Australian dollar appreciat ing compared to the U.S. dollar, which in return increases the EMI for American wool. Moving forward, this exchange rate will indicate the value and prices of American wool and it will have a significant impact on prices across all microns.

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Rafter 7 Merinos – A "Fresh" Genetic Source! Saturday, Sept. 9, 2023 (Saturday) 1 p.m. Eureka, Nevada, Fairgrounds Offering: 200 Rams and 25-50 Merino Yearling Ewes * Importing "World Class" GENETICS for Over 30 Years! * From North Ashrose • Poll Boonoke (Wanganella) • Lewisdale • Hyfield • Willemenup, etc.

2022 Rafter 7 Wool Clip Topped @ $4.91/lb. (grease basis) Next @ 4.77/lb (grease basis) Next @ 4.50/lb. (grease basis)

SALTO

Body Wt. 360 lbs.

Micron

C.F. Fleece Wt.

20.2

99.8

36.3

Gary McCuin, Director, UNR-GBREC 775-237-6134, 775-385-5248, gmccuin@unr.edu

July 2023 • Sheep Industry News • 7