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.
Steer rail prices up
Retreating commodity prices kept the Canadian dollar below 94 cents US.
The Canfax weighted average price for steers last week was $77.32 Cdn per hundredweight, up 70 cents, while heifers averaged $77.56, up $1.70.
The majority of trade was on the rail at significantly higher prices, resulting in the weekly steer weighted average being slightly higher than the live steer price.
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Sales volume of 19,299 head was down 19 percent.
American packers bought a large part of the cash trade.
The cash to futures basis weakened to $15.46 under compared to $14.68 under last week.
With the weakest basis since March and the softer loonie, live exports to the U.S. should continue.
Weekly fed exports south to Jan. 23 were up 18 percent from the previous week but were 18 percent lower than the same week last year.
Chicago futures rose on improved weekly beef exports, falling U.S. unemployment and bad weather that slowed weight gain.
Strong cow prices
D1, D2 cows were $39-$52.75 to average $46.74, up $3.85, and D3s were $33-$45 to average $40.36, up $3.52.
Rail grade cows were $91-$95, up from $82-$90 the week before.
Butcher bulls rose to $45-$64, averaging $54.83, up $2.05.
Weekly slaughter cow and bull exports to Jan. 23 were 7,852 head compared to 4,831 head the previous year.
Beef price weakens
U.S. Choice cutouts closed at $138.71 US per cwt., down $1.34 from the week before.
Select closed at $136.10, down 59 cents.
The weekly Canadian AAA cutout to Jan. 29 was $146.05 Cdn, up $2.07 from the previous week, but $27.51 lower than the same week last year.
The AA cutout was $145.32, up 12 cents from the week before, but $28.42 lower than last year.
The Montreal wholesale price for delivery this week was $1 higher on the bottom end with a range of $164-$166.
Heavier heifers down
Last week steers averaged 70 cents higher, but 500-600 pound steers saw pressure, trading at $100-$118.50, down $1.40.
Heifers were steady to slightly stronger for the week, with the exception of 800-900 lb., which were down 35 cents, and 900 lb. and heavier down 95 cents.
The market was supported by favourable second and fourth quarter projected fed cattle prices and Lethbridge barley prices that are trading about 10 percent lower than a year ago.
Year-to-date auction market volumes are 147,704 head, up 10 percent.
Weekly feeder exports to Jan. 23 were 1,590 head, down from 13,820 head the previous year.
Bred cows traded from $450-$950 to average $703.33 and bred heifers traded $800-$1,050 to average $931.25.
