Thw WP’s weekly comprehensive livestock report.
Fed cattle mostly steady
Fed cattle price ranges tightened last week.
The cash offering was small, making price discovery difficult. Trade occurred on only one day, Canfax said.
Steers averaged $93.16 per hundredweight, about steady with the previous week and heifers were $92.99, up 68 cents.
Rail prices were steady with a large part of the trade at the top end of the range.
Sale volumes were 15 percent lower at 19,000 head.
The cash-to-futures basis strengthened to $13.91 under compared to $16.89 under the week before. The basis is close to the five-year average.
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Fed exports totalled 15,889 head, up 24 percent from the week before and 27 percent higher than last year.
Fed prices appear to have hit bottom and a rebound is anticipated. Buyer interest should be a little stronger, Canfax said.
Market-ready fed cattle numbers should start to shrink soon.
In the United States, traders had expected stronger prices last week but financial turmoil in the equities market spilled into the livestock trade. The question for the future is whether worries about the economy will cause beef eaters to scale back their purchases. Rising profits at grocery store chains indicate that consumers might be shunning restaurants and eating more at home.
Demand improved for D1, 2 cows in Alberta with prices at $40 to $58 per cwt., averaging $49.32, up $3.80 from the week before.
There were 4,386 head of cows and bulls exported to the U.S., steady with the week before.
Butcher bulls were $46-$78, averaging $59.39, down $1.40 from the week before.
Beef prices rise
U.S. Choice cutouts rose 69 cents to $160.77 US. The Choice-Select spread widened to $6.44. Beef movement slowed 30 percent in the United States, Canfax said.
Canadian AAA cutouts for the week ending Sept. 5 were $172.56, up $1.11 Cdn and AA cutouts were $168.06, down $1.82.
Calgary wholesale price for delivery this week was steady at $160. The Montreal wholesale was steady at $169.
Feeder prices fall
Alberta auction market volume rose 35 percent to 65,000 head. That was 23 percent more than the same week a year ago, Canfax said.
Cash feeder cattle prices struggled last week with uncertainty in the markets and lower fed and feeder cattle futures.
The steer average fell $2.85 per cwt. and heifers averaged $3.88 lower than the week before.
Alberta steers heavier than 700 pounds fell $1.58 and heifers were $2.49 lower.
Steers lighter than 700 lb. were $3.80 lower and heifers were $4.93 a cwt. lower.
Feeder cattle exports totalled 19,077 head two weeks ago, up 20 percent from the week before and nine percent more than the same period a year ago.
Volumes will likely decline in the next two weeks and prices should be steady. Grass-fed cattle supply is tapering off.
Cow-calf pairs traded at $500-$800.
Cattle on feed
Chicago live cattle futures rose after the Sept. 19 U.S. Department of Agriculture’s cattle on feed report showed smaller-than-expected cattle placements in August and the second lowest placements for August since the current reporting format began in 1996.
The report said many cattle placed in August were heavier cattle, particularly 800 lb. or more, which would be fattened enough for slaughter late this year. It could mean fewer cattle available for slaughter in February and April.
The report also showed the Sept. 1 cattle on feed supply was 97 percent of a year ago, under the average trade estimate of 97.8 percent.
Hog prices weaken
Abundant hog supply and good margins caused several U.S. slaughter plants to extend hours last week.
Iowa-southern Minnesota cash hogs Sept. 19 were $51 US per cwt., down from $53 Sept. 12.
The U.S. pork carcass cut-out value rose to $76.66 Sept. 19, from $75.74 on Sept. 12.
U.S. slaughter for the week ending Sept. 20 was estimated at 2.335 million, up from 2.301 million Sept. 13 and 2.243 million last year.
Bison rise
The Canadian Bison Association said prices reached an eight-year high last week with a five-cent increase at the top of the range.
Grade A carcasses from youthful bulls in the desirable weight range in Canada were $2.25-$2.50 Cdn per lb. hot hanging weight. Heifers were $2.10-$2.40 per lb.
Cull cows and bulls were 90 cents to $1 per lb.
Lambs stronger
Beaver Hill Auction in Tofield, Alta., reported 1,188 sheep and lambs and 104 goats traded Sept. 15.
Prices were steady to stronger on all classes. Strong demand for good breeding ewes pushed prices to $60-$84.25.
Lambs lighter than 70 lb. were $95-$126 per cwt. Lambs 70 to 85 lb. were $92-$123.50, 86 to 105 lb. were $105-$115 and those heavier than 105 lb. were $100-$110.
Rams were $30-$47 per cwt. Cull ewes were $25-$52 per cwt.
Good kid goats were $150-$194. Nannies were $53-$88 per cwt. and mature billies were $91-$155.
Ontario Stockyards reported 2,444 sheep and lambs and 105 goats traded Sept. 15. Lambs were $10-$12 lower. Sheep and goats traded steady.
