Fed cattle lower
Worries about the worsening economy pressured all markets lower last week, including fed cattle, which dropped $1-$2 from the week before, Canfax said.
The average Canfax price on steers was $85.10 per hundredweight, down $1.83 and heifers were $85.86, down 80 cents.
Sales volumes dropped six percent to about 15,000 head.
The cash to futures basis weakened to $16.86 under compared to $16.31 under the week before.
Fed exports to the U.S. rose four percent to 12,364 head. That was down 38 percent from last year. In the year so far, exports are down 42 percent.
Read Also
Russian pulse trouble reports denied
Russia’s pulse crop will be larger than last year, which won’t help prices rally from their doldrums.
American interest in Canadian fed cattle will likely remain flat for the next two weeks. Beef demand is not expected to improve until summer barbecue demand.
Feedlot supply remains current and packers do not have a large inventory. Expect prices around $86-$87 as buyers try to increase inventory, Canfax said.
D1, 2 cow prices in Alberta traded at $35.65-$54 per cwt. with an average of $44.94, up $1.34 from the week before.
Butcher bulls were $40-$70 with an average of $59.18, up $2.90.
Slaughter cow and bull exports totalled 4,863 head, down from 5,069 head the previous week and up from 4,557 head last year, Canfax said.
Feeder prices stronger
Alberta auction market volume dropped 17 percent to 34,759 head.
So far this year, volume is up 47 percent.
Even with the decline in marketings this week, there is still strong interest for feeders. Grass cattle topped the market, said Canfax.
Yearling steers 800-900 pounds and heavier were 40-60 cents per cwt. higher last week.
Yearling heifers 800-900 lb. were 60 cents higher while heifers 900 lb. and heavier fell 40 cents.
Steers 300-500 lb. were 30 cents-$2 higher, while heifers in the same range were $1.55-$1.70 higher.
Overall, steers averaged $1.01 higher and heifers were $1.79 higher.
Exports to the U.S. totalled 9,509 head, down from 10,236 head the previous week and 18,042 head last year.
Prices may vary depending on quality and condition but generally there is still good demand for all types of cattle heading to town, Canfax said.
Prices should trade steady to stronger this week, especially with limited offerings.
Bred cattle offerings are spotty and quality and age are dictating prices.
Bred cows were $650-$1,000 and bred heifers $700-$1,050.
The U.S. Department of Agriculture reported 11.288 million head of cattle in U.S. feedlots as of Feb. 1, down six percent from a year earlier and the smallest supply for that date since 2004.
January marketings totalled 1.737 million head, down six percent from a year ago and placements were 1.858 million head, up four percent.
The increase in placements was largely attributed to the drought in Texas.
Beef prices mixed
Canadian AAA cutouts rose $2.57 from the week before. AA cutouts were 86 cents lower.
The Calgary wholesale market for delivery this week rose $1 to $159-$160. Montreal rose $2 to $167.
Byproduct prices slid $1 to $60-$94 and their struggle is expected to continue, said Canfax.
U.S Choice cutouts were $134.13 US, down $1.99, and Select fell $1.53 to $133.72.
Hog prices lower
U.S. pork stocks were at record-high levels at the end of January as a weak economy slowed meat consumption and forced producers to put higher-priced cuts of meat into storage.
Worries that the economy was worsening drove Chicago hog futures lower. Lower pork prices push packer margins further into negative territory.
Iowa-southern Minnesota cash hogs fell to $44 per cwt. US Feb. 20 from $45.50 Feb. 13.
The U.S. pork carcass cut-out value fell to $57 Feb. 20 from $57.63 Feb. 13.
U.S. federal slaughter to Feb. 21 was estimated at 2.21 million, down from 2.24 million the week before, and one percent more than the year before.
Bison prices
The Canadian Bison Association said grade A carcasses from youthful bulls in the desirable weight range in Canada were $2.40-$2.75, with an estimated average of $2.45 per lb. hot hanging weight.
Heifers were $2.30-$2.60 per lb. with an average of $2.35.
The cull cow and bull average rose to $1.15 per lb., with sales to $1.45.
Weight, quality and delivery location affect final price.
Lambs up
Ontario Stockyards reported 946 sheep and lambs and eight goats traded Feb. 9.
The light offering of sheep, lambs and goats sold at higher prices.
Beaver Hill Auction in Tofield, Alta., reported 617 sheep and lambs and 49 goats traded Feb. 9.
Lambs lighter than 70 lb. were $136-$159 per cwt.
Lambs 75 to 85 lb. were $130-$151, 86 to 105 lb. were $125-$142, and those heavier than 105 lb. were $118-$139.
Rams were $50-$60 per cwt. Ewes were $35-$56.
Good kid goats were $120-$167.
Nannies were $60-$79 per cwt. and mature billies were $60-$90.
