Canfax Weekly Article | Report for the week of December 16, 2024

In Alberta last week, weighted average fed steer and heifer prices closed the week around $252/cwt live, $4.75/cwt higher than the previous week. Since the end of October, fed prices have rallied $14/cwt. Light trade was reported last week with dressed sales reported from $415.00-416.00/cwt FOB the feedlot. U.S. packer interest was supportive and light volumes of Western Canadian fed cattle were marketed South. Negotiated cash sales to the U.S. were from $253-262/cwt FOB feedlot and were at a premium over local deals. Last week, Alberta fed prices were at an estimated $21/cwt discount against the Nebraska market.

Last week, the Canfax average feeder steer and heifer prices were $1-2/cwt higher. Last week, heifer calves from 3-500 lb traded $1/cwt stronger and are $135/cwt higher than a year ago. Over the past couple of weeks, Alberta feeder prices have been trading at a premium over the SK/MB market. The forward delivery market was lightly tested last week. 800-899 lb steers for February delivery averaged in the mid $370’s/cwt, $20/cwt higher compared to a couple weeks ago. Alberta auction volumes were just over 49,000 head, 25,000 head larger than last year. Canadian feeder cattle exports to the U.S. for the week ending November 30th were 2,351 head.

Last week, Alberta D2 cows traded fully steady and live trade was reported from $160-187/cwt. D3 cows averaged $159/cwt. YTD Western Canadian cow slaughter was the smallest since 2020. Butcher bulls traded $2.50/cwt higher, averaging $190.50/cwt, with a range from $170-215/cwt. Canadian butcher bull exports to the US for the week ending November 30th were 705 head, 4% larger than the same week last year.

Bull

• The all-fresh beef retail prices for the month of November is 2% higher than last year.
• AB/SK December 1st cattle on feed inventories are below last year.
• U.S. beef exports for the month of October were 2% larger than last year, in October more beef ended up being shipped to China and South Korea.

Bear

• U.S. 90% trim prices have struggled, trading at the lowest point since March.
• Seasonally rib primal values have peaked and prices seasonally decline right through to the end of the year.
• U.S. Political tension and talks of tariffs on Canadian and Mexican commodities continues to be a concern.