Canfax Weekly Article | Report for the week of June 13, 2022

Last week, Canfax fed steer and heifer price closed around $172.25/cwt, $1/cwt higher than the previous week. Alberta fed prices have averaged in the low $170’s/cwt for the past five weeks. Last week dressed sales were reported from $286.50-288.50/cwt FOB the lot. Ontario fed prices were trading at a $18/cwt premium against the Albert market, as a result cattle from Alberta are being shipped to Ontario for slaughter. Most of the cattle that traded last week were being scheduled for July 11^th and 18^th delivery. Alberta fed cash to futures basis weakened, going from +$4.07/cwt to +$1.20/cwt last week.

Canfax average feeder steer and heifer prices closed the week $0.50-1.25/cwt higher. Alberta 800 lb steers traded $1-4/cwt higher, establishing new annual price highs. Heifers weighing from 6-800 lb traded $1-3/cwt stronger and are $5-8/cwt higher than last year. The Western Canadian calf index closed the week at $235.55/cwt. Alberta weekly auction volumes totaled just over 19,000 head, 4,000 head larger than last year. Canadian feeder cattle exports to the U.S. for the week ending May 28^th totaled 3,405 head.

Alberta D2 cows traded fully steady last week, and live trade was reported from $95‑112/cwt. D3 cows averaged $92.25/cwt. Butcher bulls traded $2.25/cwt higher to average $129.50/cwt and trade was reported from $110-148/cwt. Canadian butcher bull exports to the U.S. for the week ending May 28^th totaled 595 head, 12% larger than the same week last year.

Bull.

• Total U.S. beef exports for the month of April were 6.8% higher than last year.
• YTD U.S. by product values are averaging 31% higher than last year.
• U.S. pork cutout values have trended higher over the past month.

Bear.

• U.S. Choice rib primal vales are 25% lower than last year.
• U.S. Inflation is at a 40-year high and it is not positive news for beef demand.
• In western Canada, seasonally larger fed cattle supplies are on the horizon.

For over 50 years, Canfax has provided expert analysis of markets and trends in the ever changing North American beef industry. In this new millennium, cattlemen, feedlot managers, and agri-business professionals will continue to rely on up-to-the-minute information as an essential tool for maximizing profit in today’s beef sector. Whether your operation needs to plan for three hours or three years into the future, Canfax delivers timely, accurate information for 21st Century cattle industry professionals.

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