Volumes drop with weather
WINNIPEG (Staff) – Fed cattle opened the week steady with last week’s prices, but frigid weather throughout the Prairies did nothing to push up prices. Canfax said volumes were reduced by about 10 percent, but sellers again exhibited the preference to hang onto cattle rather than sell them at current bids.
Their behavior hasn’t affected packers, however. Canfax said they are having no trouble getting fed supplies, especially since heavier carcass weights mean total meat supplies are adequate.
Sleet and cold weather made for very thin trade in American southern plains cash markets last week. Trade virtually shut down in Nebraska on Jan. 17 and 18. Even without normal volumes, prices had a hard time remaining steady at $64 (U.S.) per hundredweight. Cash fed and feeder cattle prices are feeling the pressure from Chicago futures prices.
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But the cold weather did benefit cow trade in Western Canada. Reduced offerings resulted in lower packer inventories. By midweek, Canfax said prices had increased by $1-$2 per cwt. with some grain-fed cows $3 per cwt. higher. D1 and D2 cows ranged in price from $36-$47 per cwt., with top sales to $48.75. Rail grade bids were between $80-$85 per cwt.
Quality also down
Feeder cattle prices were lower again last week, Canfax said. Cold weather limited volumes and the quality of calves on offer was also lower, allowing buyers to continue to be choosy. Some feeders were sold to American buyers, Canfax reported.
Steers weighing 600-700 pounds averaged $66.25 per cwt. in southern Alberta and $73 in central and northern Alberta; $75.13 in Saskatchewan and $73.26 in British Columbia.
