Fed market weakens
Fed cattle prices slipped last week with most trade at the bottom end of the previous week’s range, Canfax said.
Exports declined to 10,218 head, 33 percent less than the week before, which is likely a result of the narrowing Canada-U.S. basis and the rising Canadian dollar.
Even with the softer trade, producers were willing sellers and cleaned up most of the show list.
Volume dropped three percent to about 16,000 head.
The price averages for the week were up from the previous week, but that was because they included the strong market of April 13 when steer prices were $102 per hundredweight live and $173.40 on the rail.
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Alberta prices April 19 were steers $98.85 per cwt. live and flat rail $166.15-$168.30. Heifers were $166.15-$166.65 flat rail.
The U.S. futures market dipped during the week as beef prices fell and packer margins dropped.
The lower futures price and stronger Canadian dollar could lower cash prices this week, but market-ready numbers are expected to tighten, which may help to support a steady to sideways market.
Cattle on feed
The U.S. Department of Agriculture reported cattle on feed on April 1 at 99 percent of a year ago, or 11.644 million head, while analysts on average expected 98 percent. USDA put March placements at 107 percent, or 1.965 million head, which nearly matched the trade average.
The numbers support analysts’ forecasts that cattle prices will trend lower into the summer.
The report also showed an increase in heifers being fattened for slaughter. That indicates U.S. cattle producers are selling potential breeding stock rather than keeping them to expand herds and produce more feeder cattle.
Feeder prices mixed
Feeder cattle auction market volume rose 45 percent from the week before to 44,500. That was 39 percent larger than last year.
Three large satellite sales contributed to the volume. Prices were mixed with steers trading steady to higher while heifers traded lower.
Steers were 25 cents-$2.25 per cwt. higher and heifers were 50 cents-$1.50 lower.
Heifers 900 pounds and heavier were steady.
Feeder cattle exports dropped to 5,038 head for the week ending April 14, 51 percent less than the previous week.
D1, 2 cows fell $1 and D3 cows were $1.75 higher.
Prices were higher to start the week and declined as the week progressed. Butcher bulls were 75 cents higher.
The weaker fed market last week and the higher Canadian dollar might dampen the feeder market this week.
In light trade, stock cow prices were steady to lower. Bred cows were mostly $750-$950, with plain types $450-$700.
Cow-calf pairs were $900-$1,200, with tops to $1,400 and plain types $750-$850.
Beef drops
U.S. cutouts came off their recent highs, with choice dropping by $8.70 US from the week before to $163.77. Select was $153.08, down $6.67.
Packers have been rationing product but were forced to start discounting last week. The cold, wet weather in the northeastern United States delayed the beginning of barbecue season.
Retailers saw time narrowing to buy spring features and so volume picked up on all items.
The Calgary wholesale for delivery this week was $2 Cdn lower at $169-$172.
Hog prices rise
Tight hog supplies lifted prices last week.
Supplies normally tighten this time of the year, but circovirus appears to have pushed U.S. hog numbers lower than expected.
However, pork prices have failed to keep up to hog price gains, cutting into packer profits. Plants might reduce slaughter this week. U.S. pork supplies are higher than expected.
Iowa-southern Minnesota hogs traded April 20 at $51 US per cwt., up from $48.50 April 13.
The U.S. composite pork carcass cut-out value was $71.21 April 20, up from $68.16 on April 13.
Federal slaughter in the U.S. last week was 19.84 million, up a little from 19.71 million the week before.
Bison steady
Carcasses from top quality bison bulls in Canada that are younger than 30 months in the desirable weight range two weeks ago were $1.60-$1.90 Cdn per lb.
The weighted average was $180.69 per cwt. rail grade. Rail prices for quality youthful bulls older than 30 months were $120-$145 per cwt. Cull cows were 10 to 20 cents per lb. live.
The USDA reported April 10 that hot carcasses from bulls younger than 30 months dipped to an average of $180.68 US for March, down from $181.75 in February. Cull cows climbed to $115.68 per cwt.
Lambs steady to stronger
Ontario Stockyards reported 1,078 sheep and lambs and 86 goats traded last week.
All classes of lambs sold steady to stronger. Sheep and goats were firm.
Beaver Hill Auction in Tofield, Alta., reported 584 sheep and 194 goats traded April 16. There was good demand and all classes sold steady.
Lambs lighter than 70 lb. were $140-$159 Cdn per cwt. Lambs 70 to 85 lb. were $138-$166.50, 86 to 105 lb. were $130-$142 and 105-119 lb. were $115-$130. Lambs heavier than 120 lb. were $100-$120 per cwt.
Rams were $60-$80 per cwt. and cull ewes $62-$88 per cwt. Bred ewes were $120-$160 per head and families were $140-$250.
Poor and light goats lighter than 50 lb. were $100-$150 per cwt. Good kid goats were $174-$185 per cwt. Nannies were $50-$90 per cwt. and mature billies were $137.50-$170.
