Fed cattle markets rally
Fed cattle prices started weak but picked up midweek. The weekly average wound up $1.25 per cwt. higher on steers and steady on heifers.
The stronger market caused volumes to rise to more than 26,000 head, up 19 percent from the week before and the largest week since mid January, Canfax said.
Alberta prices Feb. 12 were steers $76-$79.90 per cwt., flat rail $130-$132.30 and heifers $76-$80.30, flat rail $130-$131.
Canfax said Canadian prices were helped by a $3 per cwt. improvement in U.S. cash prices and a stable U.S. cutout, which had been sliding for two weeks.
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Beef sales were good, with excellent movement into Mexico and steady business into the United States.
Wholesale beef prices are steady in the east, with Montreal at $139-$141 per cwt., but the Calgary market is down $2-$3 in a range of $131-$133.
Lower rendering values have pressured byproduct values recently, but this week was expected to be steady.
U.S. fed prices are still expected to strengthen over the next few weeks, but the situation remains volatile.
Canadian fed cattle supplies are expected to tighten into March and April, but with more cattle coming from sources other than feedlots, solid predictions are hard to make.
Alberta auctions busier
Alberta auction market volumes rose 34 percent, with slightly less than 17,900 head trading. That is about half the number of last year, reflecting the market uncertainty.
Canfax said many cow-calf producers have not decided whether to sell or hold.
Steers 300-700 lb. traded $4-$6.50 per cwt. lower than the week before, while 700-900 lb. and heavier were $9.25-$9.50 lower.
Heifers 300-400 lb. were $6 less and 400-500 lb. traded $11 lower. Heifers 500-900 lb. and heavier were $8-$10.25 softer.
D1, 2 cows rose $1.75.
Volumes should increase because many who held their calves in the fall will begin to calve soon and will need the space, labour and feed, Canfax said.
Feeder prices have not been this low since 1996, when the cost of feed was also high.
Low quality bred cows brought $300-$500, while quality bred cows were $500-$800.
Bred heifers were $300-$600 on lower quality and $600-$900 on good quality.
Cow-calf pairs on light trade in northern Alberta were $800-$850.
Flu fears affect hog prices
Increased reports of the avian flu virus in the U.S. raised concerns of a backup of meat supplies as many countries imposed export bans on U.S. poultry. Exports account for about 20 percent of the U.S. poultry industry. The fear caused hog futures prices to bounce around.
The February contract, which expired Feb. 13, reached a new high, but deferred contracts settled mostly lower, suggesting an uncertain demand for pork in later months.
Wholesale prices for most pork cuts in the U.S. increased slightly.
The Iowa-Minnesota daily direct hog price (plant mean, 51-52 percent, lean carcass converted to live weight) rose from $46.97 US per cwt. on Feb. 9 to $47.91 Feb. 1, on average a gain of two percent.
Canadian hog prices also rose.
Sheep, lamb prices steady
At Ontario Stockyards, Inc. 2,343 sheep and lambs and 161 goats traded.
Light lambs, sheep and goats saw stronger prices, while heavy lambs sold steady, with some fancy heavy lambs bringing a premium.
Prices per cwt.: lambs, new crop, $92-$195, highs to $206; lambs 65 to 80 lb., $102-$174, highs to $188; lambs 80 to 95 lb., $80-$124, highs to $137; and lambs heavier than 95 lb., $80-$103, highs to $134.
Feeder lambs, $110-$135. Lambs, heavier than 120 lb., $44-$65. Sheep, $47-$59, highs to $70; plainer types, all weights, $40-$58. Rams, $55-$70.
