Steers sag
Steers last week averaged $84.92 per hundredweight, down 75 cents from the week before, while heifers averaged $85.14, up three cents.
The Canada-U.S. cash to cash basis widened by 28 cents to $13.76 under, said Canfax.
About 14,835 head were exported to the United States two weeks ago, steady with recent weeks, but down about 5,000 head a week from earlier this fall.
About 19,000 head were marketed in Alberta last week, not enough to clear the showlist.
Canfax said marketers have sold cattle on a timely basis. Alberta steer carcasses are 34 pounds lighter than the peak this fall.
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That will help support prices, but coming up are holiday-shortened kill weeks and a weaker U.S. market.
The weaker Canadian dollar will help, but it may not be enough to hold the market.
Canadian beef prices slip
The Canadian AAA cutout dropped $1.67 to $159.69 per cwt. and AA fell 50 cents to $152.01, said Canfax.
Moving into turkey season, beef movement is reported as soft. The Calgary wholesale market for delivery this week is $1 higher at $141-$144.
There was unexpected strength in the U.S. Choice cutout last week, Canfax said.
Choice rose by $1.67 US to $144.31 per cwt. while the Select fell 22 cents to $125.49, widening the Choice-Select spread to $18.82, well over historical levels of $8-$9 for this time of year.
Feeders weaken
Disappointing feeder prices did not stop producers from marketing. They took advantage of good weather to market about 76,000 head, up three percent from the week before and 35 percent more than last year, Canfax said.
Light steers 300-500 lb. fell $4.25-$5.25 Cdn per cwt. and heifers 300-500 lb. were $1.25-$3.75 lower. Steers 500-700 lb. were down $2.50-$4 and heifers 500-700 lb. dropped $1.25-$3.
Steers 700-900 lb. and heavier dropped $2.25-$2.50, heifers 800-900 lb. fell $1 and heifers 900 lb. and heavier rose $1.25.
Butcher cows dropped $1.50-$3.75 while butcher bulls were steady.
Feeder cattle exports for the week ending Dec. 9 totalled 5,861 head, up 90 percent from the week before, Canfax said.
As Christmas approaches, sales will likely wind down and prices will be under pressure.
Stock bred cattle prices rose with most bred cows at $800-$1,100, tops to $1,275 and plain types $350-$750.
Bred heifers on bulk trade were $900-$1,100, tops to $1,275 and plain types $350-$850.
On-feed report
There were 1.052 million cattle in Alberta and Saskatchewan feedlots on Dec. 1, down five percent from the same time in 2005, said Canfax.
November placements at 379,987 were down 33 percent from the same month last year, but last year’s number was a record large.
Smaller placements can be attributed to falling feeder prices keeping some calves at home as producers waited for a rally. Also, increased feed costs may have kept more cattle in backgrounding programs rather than on finishing rations.
Cash hogs drop
Hog producers in the U.S. rushed to sell last week, driving down cash prices.
Milder conditions allowed producers to catch up from two weeks of bad weather that impeded deliveries. Also, analysts said rising feed costs might have been an influence, as was a desire to avoid marketing during the holidays and worries about possible lower prices ahead.
The Iowa-southern Minnesota live cash price for hogs delivered to plants was $43 US per cwt. on Dec. 15, down from $46.50 Dec. 8.
The U.S. composite pork carcass cut-out value fell to $63.34 Dec. 15, down from $65.66 US on Dec. 8.
