This cattle market information is selected from the weekly report from Canfax, a division of the Canadian Cattlemen’s Association. More market information, analysis and statistics are available by becoming a Canfax subscriber by calling 403-275-5110 or at www.canfax.ca.
Fed prices steady
Alberta direct cattle sales saw active cash trade last week at prices generally steady with the previous week. The bulk of trade was reported in a $264-$265 per hundredweight dressed range. Thin live heifer trade was reported comparable with rail sales and was steady with the previous week.
Read Also
One Beer Market Updates Day 3 – Lentils and beef
Day 3 of the One Beer Market Update at Ag in Motion 2025.
Packers continued to offer a premium for cattle with more than 70 percent AAA grades. Over the past two weeks, the AAA and Prime grade percentage has increased from 71.7 percent to 72.3 percent. Most cattle traded last week were scheduled for delivery in the last week of October and first week of November.
Total Canadian slaughter for the week ending Sept. 25 was one of the largest seen so far this year at 71,476 head. Canadian fed steer slaughter set a new annual high last week at 46,454 head and total fed slaughter was 14 percent larger than the previous week at 62,690 head. Year to date Canadian fed slaughter was 10 percent larger than year ago, totalling 2,059,207 head.
Carcass weights typically peak in November but this year’s current annual high steer carcass weight of 951 pounds was established in January thanks to backlogged fed supplies and reduced harvests due to COVID.
For the week ending Sept. 25, steer carcass weights were steady with the previous week at 939 lb. Western Canadian steer weights averaged one pound larger than eastern Canada.
Most Ontario trade last week was reported steady with the previous week at $270 per cwt. delivered but a handful traded at $272 per cwt. delivered.
Alberta fed prices have been range bound at around $157-$158 per cwt. over the past four weeks and buyers have market leverage. Profitable packer margins should continue to fuel large harvests.
In the United States, live prices in the south were around US$124 per cwt., steady with the previous week. The north continues to weaken and has generally moved to a discount to the south with live trade reported from $121-$124per cwt. and rail trade $1-$2 per cwt. lower.
U.S. feeder cattle and calves generally had a softer tone and the feeder index continues to trend lower.
Cow price rises
The butcher cow market continues to edge higher. Last week was the third consecutive week that D2 cow prices averaged more than $80 per cwt., averaging $81.40. D3s averaged $71.14 per cwt. Over the past month, Alberta cows have gone from a $12 per cwt. discount against the U.S. utility cow market to now around a $6 per cwt. discount.
In terms of non-fed supplies, this time of year is usually the calm before the storm. Larger numbers are still ahead but with a lot of cows moving early in summer, this year’s fall non-fed numbers are expected to be manageable.
Mild fall temperatures and regrowth on some harvested fields has allowed some producers to extend grazing days.
Compared to the cow market, butcher bull prices have been disappointing as prices have traded mostly sideways for the past eight weeks. Last week they averaged $105.15 per cwt. Canadian bull exports to the U.S. totalled 943 head, three percent lower than last year.
Calf prices soften
Calf and yearling prices moved in opposite directions last week. Calves softened as the week progressed while yearling prices were unevenly steady. The weak spot on the market was the lighter weight heifer calves. There have been a few pre-conditioned (weaned for 30 to 45 days) groups of calves trading through commercial auction facilities but prices are comparable to freshly weaned calves.
Calves that have been weaned or off the cow for seven to 14 days are being heavily discounted compared to freshly weaned calves.
Barley prices have moved off their previous highs but remain historically strong. For fall delivery western Canadian barley prices are trading at a premium compared to U.S. corn prices.
Over the past two months, Alberta calf and feeder prices have maintained a $4-$12 per cwt. premium to the U.S., yet there has been an uptick in Canadian feeder cattle going to the U.S.
There are a lot of calves scheduled to be marketed and moved within the next 30 days.
Cutouts drop
In U.S beef trade, cutout values continued to deteriorate on lacklustre demand. Choice dipped by US$10.62 per cwt. last week, to average $294.98. Select slipped by $5.67 to average $269.32 per cwt.
