The fed market picked up from where it left off following 2 consecutive weeks of limited cash trade. The Canfax average steer and heifer price closed last week at $118.75 and $118.50 respectively. Dressed trade was reported from $198.00-200.00/cwt delivered. Bids strengthened over the course of the week as both local packers expressed interest in available cash cattle. Showlist supplies were generally cleaned up, accumulated sale volumes totaled 13,500 head. Last week’s cash to futures basis closed at -9.36. Canadian fed exports to the US for the week June 29th totaled 4,666 head.
Even though the feeder market was lightly tested prices did strengthened. The Canfax average steer and heifer price last week closed $2.00-2.75 higher. 700+ feeders traded anywhere from $2.00-5.50 stronger. Cash to futures basis levels did strengthen last week. Alberta auction volumes totaled 7,400 head, up moderately from the previous week. Canadian feeder exports to the US for the week ending June 29th totaled 2,015 head.
Non-fed prices rebounded on strong North American packer demand. D1, D2 cows traded $4.50 stronger and live trade was reported from $70.00-87.00/cwt. Last week D3 cows averaged $72.75/cwt. Butcher bulls averaged $88.00/cwt and live trade was reported from $78.00-100.00/cwt. Canadian non-fed exports to the US for the week ending June 29th totaled 6,402 head.
- Feedlots still remain surprisingly current
- The High River plant is up and operational
- Packers are not long bought
- Seasonally Canadian carcass weight should trend larger
- Last week cash to futures basis levels remain weaker than the five year historical average (08-05)
- Seasonally fed prices should trend lower
For more detailed information on markets this week please visit the Canfax website www.canfax.ca.