Canfax Weekly Article | Report for the week of June 23, 2025

The Canfax average fed steer and heifer price closed around $298.50/cwt live, $1.50/cwt lower than previous week. Light trade was reported last week with dressed sales reported from $497.00-502.50/cwt FOB the feedlot. Buying interest was noted from all Western Canadian packers. A few cattle were booked for immediate delivery but in general, lift times are beginning to stretch out. Most of the cattle that traded were scheduled for the second half of July delivery. U.S. packer interest on the Western Canadian fed market was quiet last week. Last week, Alberta fed cash-to-futures basis was reported at -$6.07/cwt, for the second half of June, this is the weakest basis since 2014.

Last week, the Canfax average feeder steer and heifer price was $1-3 higher. Alberta steer and heifer over 900 pounds traded $5/cwt higher last week. From a seasonal perspective, heavier weight feeder prices should continue to move higher over the next 30 days. Last week, steers weighing 5-600 pounds traded $9/cwt higher and prices are $109/cwt higher than last year. With dry conditions developing, there were a few more cow-calf pairs on the market last week. Demand for younger cows with bigger calves at their side has been good. Few if any pairs are being split and most are going back to ranches. Last week, cow-calf pairs averaged $5,500/pair. Alberta auction volumes were just over 25,000 head, 12,000 head larger than last year. Canadian feeder cattle exports to the U.S. for the week ending June 7th totaled 1,149 head, year-to-date exports are up a modest 3 per cent from last year as the big gains from the first quarter are almost completely erased.

Last week, Alberta D2 cows traded fully steady averaging $230/cwt with a range from $210-266/cwt. D3 cows averaged $211/cwt. YTD Western Canadian cow slaughter is down 8 per cent compared to last year. Butcher bulls traded $3/cwt lower, averaging $245/cwt, with a range from $210-282/cwt. Canadian butcher bull exports to the U.S. for the week ending June 7th were 412 head.

Bull

• USDA June 1st cattle on feed report should be viewed as slightly bullish as feedlot placement came in below industry estimates.
• Beef cutout values have been impressive with Choice cutout values rallying $55/cwt since the beginning of April
• Feedlot margins are positive

Bear

• In 17 out of the past 25 years, fed prices have trended lower from June to July
• Heading into the summer months, packers tend to gain leverage over the cattle feeder
• Since the beginning of the year, retail pork prices have moved sideways. In May, retail pork prices were slightly below last year