Canfax Weekly Article | Report for the week of October 18, 2021

Canfax fed steer and heifer prices closed last week around $156.50/cwt, fully steady with the previous week. Fed cattle prices are $21/cwt higher than last year. Last week dressed sales were reported from $260.50-263.50 FOB lot. Cattle that traded last week were being booked for the middle of November delivery. For the week ending October 9^th Western Canadian fed slaughter totaled just over 47,000 head, 7% larger than the same week last year.

Last week the Canfax feeder steer and heifer average prices closed the week $1/cwt lower. The largest price decline was on steers weighting from 600-800 lb with prices down $3/cwt. Heifer calves and light weight stockers are trading $3-5/cwt lower than last year. Yearling prices remain strong and are trading within $2-4/cwt of their highs posted a couple weeks ago. Alberta weekly auction volumes totaled just over 60,000 head. Canadian feeder cattle exports to the U.S. for the week ending October 2^nd totaled 4,871 head.

Last week Alberta D2 cow prices traded $3.25/cwt lower and live trade was reported from $68-81/cwt. D3 cows averaged $66/cwt. Butcher bulls traded $4.50/cwt lower to average $101.50/cwt and live trade was reported from $90-120/cwt. Canadian butcher bull exports to the U.S. for the week ending October 2^nd totaled 857 head.

Bull

• From January to August, Canadian beef imports from Australia and New Zealand are down 53% and 27% respectively versus last year.
• U.S. by-product values are the highest since December 2014.
• YTD U.S. pork production is down 2% versus last year.

Bear

• AB/SK October 1 cattle-on-feed inventories are larger than last year and the five-year average.
• Choice cutout values have closed lower in 33 out of the past 35 trading sessions.
• Port issues have been reported on the U.S. west and east coast which could negatively impact export demand.

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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