Alberta fed cattle prices reached up to the range of $195 to $197 during the first week of May due to tight market-ready supplies and adverse weather in the U.S. southern Plains. The futures market has been trading at a sharp discount to the cash trade throughout winter and spring, causing feedlots to be aggressive […] Read more
Cattle market endures volatility
Market Update: Beef oversupply will be an issue unless consumer spending picks up
Klassen: Feeder cattle prices remain firm
Western Canadian feeder cattle prices were relatively unchanged from week-ago levels, although larger groups of quality cattle were priced $3-$5 higher. Most auction barns reported small packages on offer with a larger variance in quality. However, there was limited slippage, even on late stragglers. Prices were rather surprising, with one producer noting that medium-frame, medium- […] Read more
Klassen: Feeder cattle market stabilizes
After the recent rally, cattle buyers noted that price spreads between weight categories came back in line with traditional levels this week. Shorter-keep yearlings were steady to $4 weaker compared to seven days earlier; mid-weight cattle from 700 to 800 lbs. were relatively unchanged while feeders under 700 lbs. were $4 to $8 higher. On […] Read more
Klassen: Feeder cattle market experiences mixed tone
Western Canadian feeder cattle markets were rather subdued this past week; average prices were unchanged from seven days earlier. However, the bloom has come off the rose as the extreme highs from earlier in May have evaporated. Late in the week, shorter-keep cattle appeared to trade $3-$5 higher, especially on higher-quality larger groups. Major feedlot […] Read more
Consumer spending favours beef market
Market Update: Food prices have been down, so shoppers have more money for beef
The fed and feeder cattle markets continue to hold value despite the year-over-year increase in beef production. Alberta packers were buying fed cattle in the range of $175 to $177 in late April. Wholesale beef prices have been surprisingly strong as beef demand continues to exceed expectations. Major economic indicators are fairly encouraging which should […] Read more
Klassen: Feeder cattle market remains firm
Western Canadian feeder cattle markets traded $3-$5 above week-ago levels although lighter weight categories experienced week-over-week gains of $8 to as much as $12. The fed cattle market went through a correction, with live sales quoted from $181 to $186, down from the last week average trade of $195. This weaker live cattle trade appeared […] Read more
Klassen: Feeder cattle markets erupt
Western Canadian feeder cattle markets traded $10-$13 above week-ago levels and in some cases as high as $20. Buying interest exploded early in the week as adverse weather wreaked havoc across the U.S. southern Plains. Demand for replacements continued to intensify as the fed cattle prices surged. Alberta packers experienced strong competition from buyers south […] Read more
Klassen: Feeder cattle prices surge
Western Canadian feeder cattle prices once again traded $3-$5 above week-ago levels, with shorter-keep quality cattle as much as $8 higher. Historically strong feeding margins, along with triple-digit gains in the futures market from Wednesday through Friday, set the positive tone. Feedlots that were holding back on purchases finally stepped forward, pushing the market to […] Read more
What is the cattle futures market saying?
The combination of cash and futures market numbers will point the way
I’ve received numerous calls over the past month from cow-calf producers and backgrounding operators in regards to a marketing strategy for their individual operation. In four previous articles I’ve discussed the feeder cattle futures market and the historical relationship between the cash and futures market. I analyzed basis levels and discussed using the basis and futures for […] Read more
Klassen: Feedlot operators aggressively bid up feeders
Western Canadian feeder cattle continued the upward trend trading $5 to $8 above week-ago levels on average with higher quality feeders as much as $12 higher. Alberta packers were buying cattle near $177 on a live basis, which is about $35 above breakeven pen closeouts. Ongoing strength in the fed cattle market set a positive […] Read more
Cyber-Savvy Farmer
