Canfax Weekly Article | Report for the week of November 28, 2022 

The Canfax fed steer and heifer price closed the week around $182.25/cwt, a couple dollars higher than the previous week. Last week, dressed sales were reported from $302.00-302.50/cwt FOB the lot. Cattle were being scheduled for the first half of January delivery. Light volumes of Alberta-fed cattle traded to the U.S. Depending on freight and dressing percentage, U.S. sales were working back to the mid $180s/cwt FOB the lot. Cattle that traded to the U.S. would be picked up in two weeks. Last week’s Alberta-fed cash-to-futures basis was reported at ‑$22.36/cwt; for the end of November this is the weakest basis since 2004.

The Canfax average feeder steer price was $0.75/cwt higher, while heifer prices eased $1.25/cwt. Calves weighing from 4-600 lb traded $1-2/cwt higher last week. Alberta 5-600 lb steers are trading at the highest point in six weeks. Heifers weighing over 800 lb traded $3/cwt lower. On a cash-to-cash basis, Alberta calf and feeder prices are trading at roughly a $6-8/cwt premium against the U.S. market. Western Canadian calf and feeder indices closed the week at $256.81/cwt and $239.01/cwt respectively. Last week, Alberta auction volumes totaled 63,000 head, 19,000 head larger than the same week last year. Canadian feeder cattle exports to the U.S. for the week ending November 12th totaled 2,155 head.

Alberta D2 cows traded $3.75/cwt lower last week, and live trade was reported from $82‑101/cwt. D3 cows averaged $74.50/cwt. Butcher bulls traded $1.75/cwt lower, averaging $118.50/cwt and trade was reported from $100-138/cwt. Canadian butcher bull exports to the U.S. for the week ending November 12th totaled 793 head, 5% larger than the same week last year.  

Bull

• August 2023 live cattle contract hit new highs this week.
• Based on the five-year average, Alberta-fed cattle prices will strengthen each week from now until the end of the year.
• From January to September 2022, Canadian beef export volumes are steady with last year and up 7% in value.

Bear

• Since the beginning of July, Canadian fed slaughter is below last year.
• According to USDA, total beef and pork in cold storage for the October is larger than last year.
• U.S. Choice cutout values are trading at the lowest point in over one month.

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