In this file:
∑ US: Declining prices limit feeder cattle movement
∑ Canada: Klassen: Feeder market continues to soften
Declining prices limit feeder cattle movement
Feeder cattle prices were steady to $5 lower.
Ed Czerwien, BEEF Magazine
May 13, 2019
Feeder cattle numbers continue to drop at the auctions due primarily to continued declining prices. There were 24,100 head at the test auctions which was down 8,000 head from the previous week, but 16,000 head lower than last year. However, this is a somewhat typical situation when prices drop as much as they have in recent weeks. Prices were basically steady to $5 lower but mostly $3-5 lower following last week's declines.
Slaughter cow numbers at the auctions continue to be very similar to the previous week with 8,100 head at the test auctions. Prices were mostly steady to $2 lower with a couple auctions just a little higher which leveled out the prices more between the different regions.
document, plus audio report [3:46 min.]
Klassen: Feeder market continues to soften
By Jerry Klassen, GFM Network News, Columnist
via Canadian Cattlemen - May 13, 2019
Compared to last week, western Canadian feeder cattle markets traded $3-$5 lower on average with some auctions down $5 to as much as $8. Alberta packers were buying fed cattle on a dressed basis at $258 delivered, down $15 from the April highs.
Feeding margins have slid into negative territory quite rapidly and could be in red in by $200 per head come summer; therefore, feedlot operators lowered bids accordingly. Most auction markets reported lower numbers this past week, which is typical for this time of year. Farmers are busy seeding and many ranchers are in the final stages of calving; however, thereís a fair amount of backgrounded cattle coming on the market and quality groups experienced limited slippage. Some buyers were scratching their heads this week because these yearlings donít pencil out with the August live cattle futures nearing contract lows.
In central Alberta, a small group of medium- to larger-frame tan mixed steers averaging 925 lbs. with medium flesh levels brought back $174; near Lethbridge, black steers weighing 960 lbs. were valued at $170. East of Saskatoon, larger-frame black mixed steers weighing 835 lbs. were quoted at $186 while their similar-quality sisters averaged 825 lbs. and were valued at $174.
A large portion of central Saskatchewan and eastern Alberta has received less than 40 per cent of normal precipitation over the past 60 days. Many ranchers are worried that pastures will dry up earlier than usual; therefore, feedlot operators were dominating the calf markets this week. Prices were quite variable across the Prairies, with limited demand from south of the border. In southwestern Manitoba, red and black medium-frame steers averaging 575 lbs. sold for $225; red and black heifers weighing just under 550 lbs. were quoted at $195. In central Alberta, Angus-based steers weighing 650 lbs. were valued at $215 and larger-frame Simmental mixed heifers weighing 675 lbs. were quoted at $190...