Alberta packers were buying fed cattle on a dressed basis in the range of $265-$270 delivered this past week, up $3-$5 from seven days earlier. Live prices were quoted at $159-$162 delivered using a 60 per cent grading. If the feedlot operator booked their feed grains earlier in winter, live prices are $2-$3 above breakeven […] Read more
Klassen: Stronger fed cattle prices underpin feeder complex
Limited feed and forage hinder further upside
Klassen: Cattle producers facing drought-like conditions
Alberta packers were buying fed cattle on a dressed basis in the range of $262-$265 delivered this past week. Using a 60 per cent grading, the live price would be in the range of $157-$159. If a feedlot booked the bulk of its feed grains earlier in winter, feeding margins are now hovering in positive […] Read more
Should you expand the cow herd?
Market Update with Jerry Klassen: Canadian producers in a good position to sell more beef into a rising market
I’ve received many inquiries from cow-calf producers regarding the outlook for the cattle herd over the next couple of years. Those of you who have read my articles in the past know that I advise Canadian cow-calf producers to expand when the U.S. cattle herd is contracting, and vice versa. It was one year ago […] Read more
Klassen: Feeder cattle divorce from futures’ direction
Compared to last week, western Canadian feeder cattle prices were relatively unchanged. Higher-quality yearlings and calves were steady to $4 higher in Alberta and Saskatchewan; in Manitoba, yearlings traded $2-$4 lower while calves were $3-$5 higher. Domestic cattle markets appeared to divorce from feeder and live cattle futures. June live cattle futures finished the week […] Read more
Klassen: Feeder cattle markets experience volatility
Beef prices encourage slaughter pace
Compared to the previous week, western Canadian feeder cattle markets traded $3-$4 on either side of week-ago levels. Prices were quite variable across the Prairies with four main factors influencing buyer sentiment. First, the eastern Prairie regions experienced adverse winter weather. Auction barns in Manitoba and eastern Saskatchewan had smaller volumes on offer. Buyers shied […] Read more
Klassen: Stronger demand drives feeder market
Compared to last week, western Canadian yearling prices were $3 to as much as $6 higher, but calf prices were relatively unchanged. Major feedlot operators were very aggressive on heavier calves and yearlings weighing 700-850 lbs. Yearlings over 850 lbs. were also well bid but not as strong as their lighter-weight counterparts. Feed barley prices […] Read more
Consumer beef demand will increase by late fall
Market Update with Jerry Klassen: Overall market fundamentals appear to be improving
In mid-March, Alberta packers were buying fed cattle in the range of $148 to $149 FOB the feedlot, which was down $2 to $3 from the February average. The fed cattle market appears to be in a transition stage. Fed cattle and beef supplies will tighten in the last half of the year. Beef demand […] Read more
Klassen: Feeder market digests USDA acreage report
Compared to last week, western Canadian feeder cattle markets were relatively unchanged. Lower flesh yearlings appeared to trade $2-$3 higher in certain pockets of Alberta but replacements carrying excessive butter experienced severe discounts of $6 to as much as $10 in some cases. October and December live cattle futures made fresh contract highs, which underpinned […] Read more
Klassen: Feeder cattle market exhibits defensive tone
March 30 — Compared to the previous week, western Canadian feeder cattle markets traded steady to $3 lower on average. Alberta packers were buying fed cattle on a dressed basis in the range of $245-$249 delivered, down from the average value of $250 seven days earlier. Deteriorating feeding margins set a negative tone for the […] Read more
A few more thoughts on the barley market
Market Update with Jerry Klassen: Price good for barley growers, feeders aren't so thrilled
Over the past month I’ve received many inquiries about the market outlook for feed grains, especially barley. Earlier in winter, I provided an overview of the fundamentals. Canadian barley stocks at the end of the 2020/21 crop year have potential to drop to historical lows due to the increase in export and domestic demand. China […] Read more