Cattle Marketing Update

Saskatchewan's Cattle Marketing Report shows feeder steer prices were mixed across all weight categories, while feeder heifer prices were lower.

 

According to the weekly update for the week ending January 15th, feeder steer prices were mixed when compared to the December 18th report.

 

The largest price increase of $2.75 per cwt occurred in the 600-700lb weight category, ending the week at an average price of $197.13 per cwt. The largest decrease was seen in the 700-800lb weight category, decreasing by $1.95 per cwt to end the week at an average price of $182.25 per cwt. The 800-900lb weight category ended the week at an average price of $171.83 per cwt. The weekly average steer price, across the reported weight categories, was $195.65 per cwt in Saskatchewan.

 

Saskatchewan feeder heifer prices were lower across the reported weight categories when compared to prices reported on December 18, 2020. The smallest decrease was seen in the 700-800lb weight category, with prices declining by $0.37 per cwt to end the week at an average price of $162.88. The largest price decrease was seen in the 300-400lb weight category, decreasing $7.73 per cwt to end the week at an average price of $210.67 per cwt. The 600-700lb weight category saw a decrease of $3.00 per cwt to end the week at an average price of $171.25. The weekly average heifer price across the reported weight categories was $185.14 per cwt in Saskatchewan.

 

Provincial Cattle Specialist Natasha Wilkie says one of the factors influencing prices may be the bullish grain prices:

 

"USDA released their grain stocks report on January 12th. In that report they cut stocks for corn, soybeans, barley, all classes of wheat, so really bullish for grain.

 

So, if your a crop producer, good news for you guys. On the feeder market not so great as the feedlots aren't able to pay as much for calves because their cost of feed is going to go up."

 

The report also shows live cattle futures prices started last week with declines followed by two days of positive movement.

 

Unfortunately, price increases didn’t offset the decreases seen earlier in the week with the February contract decreasing overall by US$1.700 per cwt relative to the previous week to settle at US$112.775 per cwt on Friday. The April contract decreased $1.100 per cwt compared to the previous week to settle at US$118.200 per cwt.

 

Choice beef cutout prices (600-900 lb.) for the week averaged US$210.82 per cwt, up US$4.09 per cwt from US$206.73 per cwt the previous week, an increase of 2.0 per cent. The Choice beef cutout is 0.8 per cent lower than the same week a year ago when it was valued at $212.58 per cwt.

 

Canfax numbers show 10,606 head of cattle went thru auction marts last week, up from last week's numbers of 3,862, and more than the 6,508 animals sold in the same week in 2020.