Weekly Cattle Market Update

Canfax reported a total of 18,699 head of cattle were sold in Saskatchewan this week, significantly lower than the 25,687 head during the previous week, and lower than the 19,259 head marketed during the same week in 2020.

Feeder steer prices were mixed across the reported weight categories when compared to prices reported the previous week. Prices ranged from $243.80 per cwt for the 300-400lb weight category to $173.00 per cwt for the 900+lb weight category this week. The largest price increase
was seen in the 900+lb weight category with a $2.75 per cwt price increase from the previous week to average $173.00 per cwt. The 300-400lb weight category saw the largest price decline with a large price decline of $13.00 per cwt to end the week averaging $243.80 per cwt.

Average weekly prices for Saskatchewan’s feeder heifers were mostly down across the reported weight categories when compared to prices reported the previous week. Prices ranged from $189.70 per cwt for the 300-400lb weight category to $167.94 per cwt for the 800+lb weight category. The largest price increase was seen in the 800+lb weight category with a $4.84 per cwt increase from the previous week to average $167.94 per cwt. The largest price decline was seen in the 500-600lb weight category with a $0.88 per cwt decline to end the week averaging $175.50 per cwt.
(Saskatchewan feeder cattle prices are provided by Canfax.)

The Saskatchewan 750 lb. feeder steer basis compared to the December 9, 2021, U.S. feeder cattle index at US$161.51 cwt was calculated at (-$18.46) per cwt ($186.89-US$161.51/0.7865), an increase of $2.53 per cwt from the basis of (-$20.99) per cwt the previous week. The basis is $26.28 per cwt weaker than it was the same week a year ago when it was (+$7.82) per cwt.

Feeder cattle future contracts had both ups and downs throughout the week, ending the week slightly higher for January contracts and lower for March contracts. The nearby January feeder cattle futures contract settled Friday at $164.875 per cwt; a price increase of $0.750 per cwt from
the previous Friday’s settlement of US$164.125 per cwt. The March contract saw a price decline of $1.800 per cwt for the week to settle Friday at US$165.300 per cwt.

Nearby live cattle future contracts saw declines throughout the week. The December live cattle futures contract decreased US$0.825 per cwt relative to the previous week to settle Friday at US$136.850 per cwt. The January contract had a price decline of US$0.775 per cwt compared to
the previous week to settle Friday at US$138.075 per cwt.

Prices of live, non-fed cattle in Alberta were higher than the previous week. The price of D2 slaughter cows saw a price increase of $4.58 per cwt from the previous week to average $71.50 per cwt; while the price of D3 slaughter cows saw a price increase of $6.65 per cwt from the
previous week to average $62.58 per cwt.

The fed cattle price for Alberta fed steers also saw a slight increase in prices this week. There was a price increase of $0.47 per cwt from the previous week to average $164.35 per cwt. The live (FOB feedlot) weighted average 5-area (Texas/Oklahoma/New Mexico, Kansas, Nebraska, Colorado and Iowa/Minnesota) weekly fed steer price in the U.S. was reported at
US$139.75 per cwt, a price decrease of US$0.69 per cwt from US$140.44 per cwt the previous week, and 30.9 per cent higher from $106.75 per cwt the same week a year ago.

The dressed (delivered basis) price for U.S. steers delivered to plants in the 5-area was reported at US$219.70 per cwt, a price decrease of US$0.27 per cwt from US$219.97 per cwt the revious week, but still up 31 per cent from US$167.77 per cwt the same week a year ago.

Choice beef cutout prices (600-900 lb.) for the week averaged US$266.75 per cwt, down US$6.42 per cwt from US$273.17 per cwt than the previous week, a price decline of 2.4 per cent. The choice beef cutout value is 21 per cent higher than the same week a year ago when it was valued at $220.51.