Light to moderate trade developed on Wednesday and prices averaged $1.00-2.00/cwt higher. Long fed yearlings commanded a premium and traded $2 higher. The majority of dressed sales last week were at $193 delivered. The Alberta cash to futures basis reverted almost $2 wider to -16.58. Canadian fed slaughter for the week ending April 13th totaled 31,978 head. Canadian fed cattle exports to the US for the week ending April 6th totaled 10,310 head.

The Canfax average feeder steer prices slid $2.75/cwt lower than the previous week and heifers traded $2.00/cwt lower. Light stocker steers and heifers from 300-400 lbs traded significantly lower while middle weight feeders were moderately $1.00-1.75/cwt lower. Big feeders over 800 lbs generally trended $2.00-3.00 lower with heifers over 900 lbs $3.50 lower. The Western Canadian feeder index firmed higher last week to $127.21/cwt. Alberta auction volumes last week totaled just over 27,500. Canadian feeder exports to the US for the week ending April 6th totaled 7,932.

The non-fed market continues to seasonally track higher and western Canadian D1, D2 cows have been trading at $5.00-10.00/cwt premium over Eastern Canadian prices. Butcher bulls traded $0.67 higher and averaged $89.59/cwt. Canadian non-fed exports to the US for the week ending April 6th totaled 6,639.

Bull factors

  • Out front packer inventories have retracted

  • Showlist cash offerings are expected to increase moving forward and reduce captive content

  • YTD fed exports to the US continue well above year ago and American fed supply is tight

Bear factors

  • Lower competing pork prices continue to pressure beef lower

  • Bearish cattle futures lack momentum

  • Price resistance at retail remains firm

For more detailed information on markets this week please visit the Canfax website