Fed cattle up
Fed cattle prices rose, with steers up $2 per hundredweight and heifers $4 higher on the weekly average, Canfax said.
A large volume of heifers traded Dec. 17 at the higher prices, which helped to support the premium over steers, partially because of lighter weights and better yields. Total volume traded was near 14,000 head, down 13 percent from last week but a respectable pre-Christmas volume. Overall, plants showed more buying interest this week, said Canfax.
Alberta prices Dec. 18 were steers $82.10-$89 per cwt., flat rail $145.45-$146.35 and heifers $86.75-$89.30.
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Although the holidays will disrupt kills, producers are generally in better shape regarding their level of currentness.
Canfax said producers need to use this limited bargaining position to the best of their ability – sell cattle that need to go but manage shorter-fed cattle accordingly.
Beef movement in January is always slow so the market will be volatile for a while.
Feeder prices fall
Alberta feeder auction market volumes were 41,000 head, up four percent from the week before but down 13 percent from last year.
Many producers passed on sales because of the weaker prices.
Feeder steers 300-500 pounds fell $1.50-$3 per cwt. from the week before.
Steers 500-700 lb. traded 50 cents-$1.25 stronger, 700-900 lb. and heavier fell $1.25-$2.
Feeder heifers 300-500 lb. rose 25 cents-$2. Animals 500-700 lb. traded $1 lower, and 700-900 lb. and heavier were $1.50-$3.25 lower. D1, 2 cows strengthened in most areas, up $2.50 from the week before.
Butcher bull prices, with the exception of those in southern Alberta, also increased.
Auction business slows
Most auction markets said that they would not hold sales until the new year.
Feeder volumes should increase in January and February, causing price pressure, although a rising fed market may support prices, Canfax said.
Better packer interest in slaughtering cows and bulls should continue holding prices steady to stronger.
Bred cow markets sporadic
Stock bred cows were $400-$900 for lower quality and $900-$1,225 for higher quality.
The market remained sporadic, with some sales showing stability and others under a lot of pressure.
Bred heifers in northern Alberta were $400-$700 for lower quality and $700-$1,100 for higher quality.
In central and southern Alberta, bred heifers were $800-$1,350.
The only trade for cow-calf pairs was in the north at $700-$1,100.
Packer inventories high
Packers reported that the beef business was quiet.
Boxed beef inventories are large and building and packers hope the smaller holiday kills will help clear some of this product, said Canfax.
Wholesale beef prices were steady in Montreal at $147-$149 per cwt. through Christmas and New Years.
The Calgary price was marginally higher, with steers at $144-$148, up $2-$4 on light volume.
Canadian boxed beef prices climbed, reducing the gap on U.S. prices.
Last week’s 65,000-head kill was 12 percent higher than the same week last year. Even the cow kill stayed above 7,000 head for the past couple weeks.
Beef movement to the United States saw 16.68 million lb. shipped south two weeks ago, putting the cumulative figure up five percent from last year. Exports to Mexico were 2.45 million lb., now up three percent cumulatively.
Pork cut-out values decline
Retail ham buying for the holiday season came to an end and wholesale ham prices fell.
Despite strength in loin, rib and picnic prices, the U.S. pork cut-out value declined slightly, Manitoba Agriculture said. Packers were willing to raise hog prices until mid-week, but paid less after that.
The Iowa-Minnesota daily direct hog price (plant mean, 51-52 percent, lean carcass converted to live weight) increased from $37.67 US per cwt. on Dec. 15 to $38 midweek, but declined by $1 Dec. 18.
On average, U.S. hog prices rose slightly from the week before.
The lower-valued Canadian dollar and steady U.S. hog prices resulted in slightly higher Canadian hog prices.
