Canfax Weekly Article | Report for the week of February 24, 2025

In Alberta last week, average fed steer and heifer prices closed around $274/cwt live, slightly higher than the previous week. Feedlot inventories are current and cooler temperatures over the past couple weeks have set cattle back. Cattle are being pulled forward and marketed ahead of schedule resulting in lighter out weights. Light trade was reported last week with dressed sales reported from $457.00-460.50/cwt FOB the feedlot. Cattle that traded were being scheduled for delivery through the month of March. U.S. fed prices have been under pressure, resulting in a large basis shift over the past month. Alberta fed prices went from a $30/cwt discount against the Nebraska market to an $8/cwt discount last week.

Last week, the Canfax average feeder steer and heifer price was $1-4/cwt higher. Week over week, the large price increase was on heifers from 6-800 pounds with prices $6-7/cwt stronger. Alberta 550 pound steer price has moved sideways over the past month averaging on either side of $520/cwt. Cooler temperatures for the first half of February have resulted in lighter auction volumes. Last week, Alberta auction volumes were just over 20,000 head, 8,000 head smaller than last year. Canadian feeder cattle exports to the U.S. for the week ending February 8th were 2,120 head.

Last week, Alberta D2 cows traded $3/cwt higher and live trade was reported from $185-212/cwt. D3 cows averaged $181.75/cwt. Butcher cow prices did establish new all-time highs last week. Butcher bulls traded $5.50/cwt higher, averaging $208.50/cwt, with a range from $180-241/cwt. Canadian butcher bull exports to the US for the week ending February 8th were 215 head.

Bull

• Last Friday, U.S. Cattle on Feed report should be viewed as neutral to slightly bullish
• U.S. 90 per cent trim prices have rallied and are within $10/cwt of their record highs set back last summer
• The U.S. All fresh beef retail price is 4 per cent higher than last year

Bear

• Since the end of January, U.S. fed prices have declined USD $10-12/cwt
• Based on the latest World Agriculture Supply and Demand report, beef production in 2025 was revised higher (775 million pounds). Beef production is now projected to be down 1.6 per cent compared to 2024.
• Last week, U.S. cattle slaughter was estimated at 563,000 head, for the second half of February, this is the smallest slaughter since 2016