Turnoff has increased, with the southern drought and poor immediate seasonal prospects pushing young cattle onto the market.

At the same time, northern Queensland is drying after the end of the monsoon season, allowing producers to start marketing export stock, boosting overall national cattle yardings by 16pc above those of a year ago.

The higher $A, combined with surprisingly weak beef import prices from Japan, has weakened demand for export cattle.

The national Japan ox indicator fell by 5¢A/kg cwt this week, to be 6pc lower than that of a year earlier.

Export prices for grassfed fullsets to Japan fell further this week and are 1.7pc below that of a year ago.

Shortfed fullsets are down 11pc – implying that all the benefit of the lower $A until this week, has gone to Japanese importers, and none has flowed back to Australia.

The eastern young cattle indicator (EYCI) remains fairly volatile due to diminishing feed sources and economic uncertainty, with the EYCI shedding 5.25¢ on last week's, to finish on Thursday at 313¢/kg cwt.

This is slightly higher than what the EYCI finished at over the past couple of days though, as sales on Thursday saw better quality yearlings attract strong competition from feedlots.

The cattle futures market followed the weakening trend, with settlement prices across all contracts falling.

The May 09 contract recorded the largest fall, settling on Thursday at 312.5¢/kg cwt – down 12.5¢.