Record fed price
Alberta fed steers posted a new record high average price of $123.66 per hundredweight last week, topping the previous record of $122.70 set in early June.
Steers were up $1.42 from the previous week. Heifers averaged $123.46, up $1.90.
Dressed trade was $208-$209 per cwt. delivered.
Rarely, if ever, have annual price highs been set in October. The new records in Canada and the United States reflect the tight number of market-ready cattle and declining carcass weights.
Western Canadian steer carcass weights were 873 pounds, the lowest since Aug. 3.
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Trade volume slipped below 30,000 head for the first time in 10 weeks.
The Alberta fed cash-to-futures basis weakened to -$16.43.
Weekly fed exports to Oct. 19 totalled 8,332 head.
Tight supply and reduced slaughter will continue this month. The usual trend for this time of year is for fed prices to rise and the cash-to-futures basis to narrow.
Slaughter prices fall
Slaughter cow prices fell sharply as supply increased, a normal situation at this time of year.
D1, D2 cows fell $4.25 to average $74 per cwt.
D3 prices fell $3.50 to average $65.75. Rail prices fell to range $144-$149 delivered.
Butcher bull prices were steady, averaging $85.89 per cwt.
Weekly western Canadian non-fed slaughter to Oct. 26 fell 16 percent to 7,864 head.
Non-fed exports to Oct. 19 fell three percent to 6,462 head.
Cow volumes will continue large but strong demand will support prices.
Fall run peaks
Auction volume was the largest of the year and might have peaked for the season.
Alberta sales volumes rose 18 percent to 90,278 head.
Prices for calves lighter than 400 pounds fell significantly. At this time of year light calves often sell in small or single animal lots that are typically less desirable and are often discounted.
Steers 400-800 lb. saw good demand but the ample offering pressured prices $2-$3.50 per cwt. lower.
Heifer calves traded mostly steady to $1.50 lower.
Feeder steers heavier than 800 lb. were mostly steady to $1 lower, while heifers over 800 lb. were $1.25-$2.25 lower.
Weekly feeder exports to Oct. 19 fell 25 percent to 5,446 head.
Special calf sales are winding down and auction volumes are anticipated smaller.
With the first large wave of fall calves now in feedlots, buyer interest could soften until new bunk space becomes available.
Calf prices could struggle while heavy feeder prices should firm on tight supply and good demand.
Beef prices rise
As U.S. fed cattle prices rose, boxed beef was pushed $4.10-$4.40 per cwt. higher. Choice was $205.17 and Select was $190.08.
The market was looking for Choice to test $210, but buyer resistance appeared to be rising.
U.S. cattle slaughter rose one percent to 624,000 head, but was three percent lower than a year ago.
Canadian cut-out values for the week ending Oct. 25 were unavailable.
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.
