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.
Bullish fed market
The story has been the same for the past month, with higher prices and new record highs. From a leverage perspective, the cattle feeder continues to have the upper hand over the packing segment.
Read Also
One beer market updates live from Ag In Motion 2025 – Day One
The question of the day market analyst Bruce Burnett and Jerry Klassen are answering during their presentations at Ag In Motion 2025.
It has been a bull market, with prices grinding higher over the past 20 months. Fed cattle supplies are the most current in some time. Feedlot margins have recently turned positive.
Competition on the cash market has been good with both major packers buying cattle. Dressed sales were reported from $413-$415 per hundredweight delivered, $3-$4 per cwt. higher than the previous week. Cattle were being scheduled anywhere from immediate to mid-July delivery.
On a cash-to-cash basis, Alberta fed prices are trading at an estimated $1.21 per cwt. discount against the Nebraska market, the strongest basis since October 2021.
Dressed sales in Ontario were reported at $415 per cwt. delivered, steady to $5 per cwt. higher than the previous week. Cattle were being booked for one to two week delivery.
In the United States, dressed sales in Nebraska and Iowa ranged from US$287-$300 per cwt., $4 per cwt. lower than the previous week. Live sales in the northern feeding states were from $185-$190 per cwt., $2-$4 per cwt. weaker.
U.S. beef exports for April were 12 percent lower than last year; less beef ended up being shipped to Japan, Taiwan and China. Year-to-date beef exports are nine percent lower than last year. Beef imports for April were one percent larger than last year.
The all-fresh beef retail price for May was reported at $7.50 per lb., two percent higher than last month. This is the highest beef retail price since November 2021.
More cows to auction
Non-fed prices eased modestly lower last week as poor pasture conditions fueled more slaughter cow and pair marketings. D2 prices slipped more than $2.50 per cwt. lower to average $152.13 per cwt., and D3 cows eased modestly 75 cents lower to average $137.71.
Dressed cow bids traded sideways at $295-$300 per cwt. delivered. The average D2 cow/Alberta steer price spread is trending seasonal at around 72 percent.
Butcher bull prices traded almost $2.50 per cwt. lower than the previous week, averaging $161.94.
Western Canadian non-fed slaughter for the week ending June 10 firmed two percent larger than the previous week at 6,060 head, and year to date was seven percent larger, totalling 172,102 head.
Cutouts rally
In U.S. beef trade, cutouts values rallied higher last week and continue to trend counter-seasonal to historical averages. Choice cutouts jumped another 12 percent to close at US$342.07 per cwt. Select cutouts climbed to $310 per cwt. by mid-week before finding price resistance, but were still eight percent higher than last week, closing at $309.58 per cwt.
Dryness boosts feeder sales
Auction volumes typically ease lower through June and seasonally bottom during the first half of July. With dry pasture conditions across the Prairies, some early-bought backgrounders and grass cattle are being flushed to auction. Increased cow/pair offerings also contributed to contra seasonally large auction volumes.
Weekly auction volumes were only one percent larger than the previous week, but were significantly 61 percent larger than the same week last year at 23,802 head. Year-to-date auction volumes were up five percent from a year ago, totalling 619,948 head.
Light calves lighter than 600 lb. saw prices dip sharply lower on seasonally sporadic lot size and quality. Mid weight 600-800 lb. feeders traded generally steady to stronger last week on broad based buying interest, while larger feeders heavier than 800 lb. saw prices firm $5-$7 per cwt. higher.
Good demand was noted for deferred October delivery of steer calves. Last week’s cattle board saw profit taking and eased modestly lower, but hedging opportunities were available and large feeders to place against the fourth quarter fed market maintained price momentum.
Canadian feeder exports to the U.S. for the week ending June 3 rebounded 32 percent larger than the previous week to 3,036 head and were down 38 percent compared with the same week last year. Year-to-date feeder exports were 43 percent lower than year ago, totalling 68,269 head. Spotty precipitation should slow cattle movement this week and auction volumes are expected to seasonally moderate.
