Canfax Weekly Article | Report for the week of February 22, 2021

The Canfax fed steer price closed last week around $152/cwt, fully steady with the previous week. This is the first time in 36 weeks fed prices have been above last year. Last week dressed sales were reported from $252.00-255.50/cwt FOB the lot. Cattle that traded last week were being scheduled for the first half of March delivery. Alberta fed cash to futures basis strengthened going from +$4.77/cwt to +$5.84/cwt.  

Last week the Canfax average feeder steer closed the week $3/cwt higher while heifers strengthened $0.75/cwt.  The largest week over week price gain was seen on 4-500 lb and 6-700 lb steers with prices up $6/cwt. Heifer calves and light weight stockers are trading steady to $5/cwt higher than last year.  Western Canadian calf and feeder indices closed the week at $220.15/cwt and $190.63/cwt respectively. Alberta weekly auction volumes totaled just over 17,000 head. Canadian feeder cattle exports to the US for the week ending February 6^th totaled 1,042 head. 

Alberta D2 cow prices traded $5.75/cwt higher with live trade reported from $75-89/cwt. Last week D3 cows averaged $69.75/cwt. Butcher bulls traded $5/cwt higher to average $107/cwt and live trade was reported from $90-123/cwt. Canadian butcher bull exports to the US for the week ending February 6^th totaled 648 head.

Bull.

• For the middle of February Western Canadian cow slaughter is the lowest since 2012
• US pork cutout value is trading over 30% higher than last year
• Australian cattle slaughter is running below last year

Bear.

• Last Friday’s US cattle on feed report should be viewed as slightly bearish as January placements came in above expectations  
• Cold temperatures across the US impacted slaughter rates, weekly hog slaughter was down 216,000 compared to the previous week and cattle slaughter was down 56,000 head
• Based on US weekly export data, beef exports have slowed compared to January

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.

Those interested in becoming Canfax members can sign up on the website at www.canfax.ca