Fed prices fall
The fed cattle market might have posted its seasonal lows last week, dropping $3-$4 per hundredweight as the rocketing Canadian dollar caused packers to lower their bids, said Canfax.
Prices fluctuated with the dollar, which at one point hit $1.10 US before backing off.
On Nov. 8, Alberta steers traded at $123.20 per cwt. on the rail and heifers were $72.60-$73.20 live.
The Canfax weekly average steer price was $72.07, down $3.59 from the week before. The heifer average was $71.95, down $4.36.
Volumes were decent given the smaller showlist, but some seller resistance was noted based on the notion than the market may have hit bottom, said Canfax.
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All Canadian plants were active buyers.
Even with the strong loonie, U.S. plants continue to be a destination for many Canadian cattle. For the week ending Nov. 3, 19,746 fed cattle were exported.
Fed cattle offerings are not expected to grow significantly.
Relief might be in sight because U.S. market ready supplies are expected to shrink in the near future. Packers appear to have pulled forward cattle and carcass weights are down. Much will depend on consumer demand as the holiday season approaches.
If the loonie stabilizes or falls, prices should improve.
Packers face new tests
In Canada, the new testing protocols for beef exports implemented by the USDA created uncertainty and many plants held off shipping some products until the situation became clearer, Canfax said.
The Calgary wholesale market for delivery this week was $3 lower at $130 to $131.
U.S. cutout values rose with Choice up $1.07 US to $140.02 and Select $1.02 higher to $128.63. The Choice-Select spread was mostly unchanged at $11.39.
Although beef prices rose, movement improved.
Feeder prices lower
Feeder volumes might have peaked with auction sales of almost 67,000, down 25 percent from the week before, Canfax said.
Light steers 300-500 lb. averaged $104.92-$110.27, down $4.21-$5.49. Mid-range steers 600-800 lb. fell $6.75-$7.
Feeder heifers of all weight ranges were also down. Feeder exports totalled 15,151, up eight percent.
D1, 2 cows averaged $30.43 per cwt., down 70 cents.
Butcher bulls fell $1 to $20 to $39.75 per cwt.
Bred cow and heifer prices were under heavy pressure.
Sale volumes are expected to hold steady to slightly lower over the next couple of weeks.
Slaughter cow volumes should be steady with prices trending mostly sideways. Quality is a large factor in determining price, said Canfax.
Butcher bull prices should be steady to lower.
Bred cow and heifer volumes should increase slightly and will face price pressure as supplies might exceed demand.
Hog prices fall
An abundance of market ready hogs and strong U.S. packer operating profits kept the slaughter pace high last week.
U.S. cash hog prices fell and the strong loonie made the situation worse in Canada.
U.S. pork prices stopped falling and that might limit the decline in hog prices.
Chicago hog futures hit contract lows, but bounced back at the close on thoughts that the market was oversold.
Iowa-southern Minnesota cash hogs traded at $35.50 US per cwt. on Nov. 9, down from $39 US per cwt. on Nov. 2.
The U.S. composite pork carcass cutout value closed at $59.37 Nov. 9, up from $57.31 Nov. 2.
U.S. slaughter for the week was estimated at 2.362 million, compared to 2.322 million the week before and 2.147 million a year ago.
Bison report
The Canadian Bison Association said the strong dollar pushed prices lower.
Grade A carcasses from bison bulls younger than 30 months in the desirable weight range were $1.75 to $1.80 per lb. Heifers were $1.65 to $1.70.
Rail prices for top quality, youthful, older-than 30-month bulls and heifers were up to $1.60 per lb.
Cull cows ranged from 60 to 70 cents per lb. hot hanging carcass. Bulls were 45 to 65 cents.
Sheep and lambs fall
Beaver Hill Auction in Tofield, Alta., reported 998 sheep and lambs and 282 goats traded Nov. 5.
Sheep, lamb and goat prices fell sharply, reflecting the cattle market.
Lambs lighter than 70 lb. were $100-$124 per cwt. Lambs 70 to 85 lb. were $102-$117, 86 to 105 lb. were $89-$108, 106 to 120 lb. were $93-$106 and 120 and heavier were $80-$95.
Rams were $46-$70 per cwt. Cull ewes $45-$62 per cwt.
Good kid goats heavier than 50 lb. were $140-$170 per cwt.
Nannies were $50-$64 per cwt. and mature billies were $116.50-$132.
Ontario Stockyards reported 2,112 sheep and lambs and 144 goats traded last week. Lambs fell $5. Sheep were $5-$8 lower. Goats sold steady.
