Surprisingly strong cash fed cattle markets in the United States helped lift the Canadian market.
The Canfax weighted average steer price was $85.45 per hundredweight, up 71 cents, and heifers averaged $84.76, up 37 cents.
All cattle on the show list sold. U.S. interest was light. Weekly sales totalled 27,149 head, down 12 percent.
The cash-to-futures basis narrowed to -$9.55 from -$10.65 the week before.
Weekly fed exports to June 26 totalled 11,401 head, down one percent from the week before.
Demand is expected to soften and market-ready supply will likely be steady. Prices could fall to the low $80s.
Read Also
New coal mine proposal met with old concerns
A smaller version of the previously rejected Grassy Mountain coal mine project in Crowsnest Pass is back on the table, and the Livingstone Landowners Group continues to voice concerns about the environmental risks.
D1, D2 cows were $50-$62 to average $57.01 per cwt., up $1.71 on tight supply. Rail grade cows were $108-$112.
D3 cows jumped to $48-$55 to average $52.33, up $3.50. Bulls were $60-$79.50 to average $70.79.
Weekly non-fed exports to June 26 were 2,454, down 38 percent from the week before.
A tight cow and bull supply is supporting prices, but the expected weaker fed market will limit prices.
The Alberta auction volume was down seasonally at 9,410 head, off 31 percent from the week before.
The Canfax average steer price rose $1.44 per cwt. and heifers rose 69 cents. Light stocker calves rose the most, reflecting good grass supply.
Steers 300-400 pounds, 400-500 lb. and those heavier than 900 lb. rose about $2-$2.50 over the week.
Heifers were generally steady except for 300-400 lb., which rose $3.38. Heifers 600-700 lb. and steers 500-600 lb. fell about 50 cents.
Feeders are generally higher than a year ago, except steers 900 lb. and heavier, which are $1.88 lower.
Weekly feeder exports to June 26 were 2,092 head, up six percent.
Higher feed prices and a stronger loonie may pressure heavier feeder prices.
There were too few bred cows and pairs to quote.
USDA Choice cutouts fell $1.01 to close at $154.61 US per cwt., while Select fell $1.91 to $145.05.
Eastern hide prices, the largest portion of the byproduct value, have climbed to $72, which is considered normal.
Hides fell as low as $23.25 in May 2009. The weak auto industry’s demand for leather seats hurt hide demand in late 2008 and early 2009.
The recently announced improved access to China should help tallow prices.
The Montreal wholesale market for delivery this week was $175-$177 Cdn.
This cattle market information is selected from the weekly report from Canfax, a division of the Canadian Cattlemen’s Association. More market information, analysis and statistics are available by becoming a Canfax subscriber by calling 403-275-5110 or at www.canfax.ca.
