Fed market strong
Steers were $90.15-$92.50 per hundredweight live last week and $150-$154.60 on the rail last week. Heifers traded $90.75-$92.20 live and $150-$153.30 on the rail, said Canfax.
The weekly average for steers rose $2.27 per cwt. to $92.17 and heifers climbed $3.14 to $91.21. Sellers sold aggressively into the stronger market.
U.S. bids represented the higher end of the trade range, but Canadian bidders weren’t far behind.
For the week ending Feb. 23, 19,399 head of fed cattle were exported. Year-to-date fed cattle exports from Western Canada are 109 percent of last year.
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The Canada-U.S. cash-to-cash basis was $17.05 under. That was up $2.82 from the previous week’s $14.23 under.
Beef demand steady
Canadian packer kills were steady, as was beef demand.
The Calgary wholesale market for delivery this week was $2 higher at $152-$155.
U.S. cut-out prices dipped on heavy offerings with Choice down $2.47 US to $148.40 and Select down $2.70 to $141.91, said Canfax.
Demand rose as the week progressed. With retailers restocking coolers, beef movement volume rose 78 percent over the week before. The supply of Choice grading cattle is expected to decline in April because that is when the cattle most affected by winter storms will come to market, displaying lower levels of marbling.
Feeder price pressured
About 51,000 head sold at auction, up eight percent from the week before and 37 percent more than the same week last year.
The large volume met good buying interest, but prices were under pressure with light steers and heifers 300-500 pounds down 50 cents-$1 Cdn per cwt.
Steers and heifers 500-700 lb. traded 50 cents higher to $1.50 lower, feeders 700-900 lb. traded steady to $1.50 lower. Feeders 900 lb. and heavier traded 25 cents-$1 lower.
For the week ending Feb. 24, feeder exports totaled 7,912 head, 30 percent lower than the week before.
Butcher cows were under slight pressure and traded 75 cents higher to 50 cents lower. Butcher bulls rose $1.50.
Optimism in the fed cattle trade on both sides of the border should support the feeder market this week.
The basis widened, which may also spark more U.S. interest.
In moderate stock cow trade, prices were steady for bred cows and heifers but cow-calf pairs dipped. Bred cows were mostly $750-$1,050 with plain types $450-$700. Bred heifers were $800-$1,030 with plain types $450-$750. Cow-calf pairs were $800-$1,020 with plain types $500-$750.
Hog delivery disrupted
More winter storms disrupted hog deliveries in the U.S. Midwest, leading traders to expect that a buildup of market-ready animals will pressure prices once the weather improves.
Storms prevented a good test of the Iowa-southern Minnesota live cash price late in the week. On Feb. 28, the price was $47 US per cwt.
The U.S. composite pork carcass cut-out value was $67.19 on March 2, down from $69.80 on Feb. 23.
