For the week ending June 8, Western Canadian feeder cattle markets traded $3 to $6 above week-ago levels. In certain locations, quality packages of 600 pound plus steers were $8 to $10 higher compared to seven days earlier. Alberta packers were buying fed cattle on a dressed basis at $440/cwt, up $2/cwt from the previous week. Live prices fob feedlot in Southern Alberta were quoted in the range of $260-$262. Feeding margins are in profitable territory which has renewed buying enthusiasm. Larger finishing lots dominated demand for feedlot ready calves and yearlings. For example, a smaller package of quality 810-pound mixed steers reached up to $368 in Central Alberta. Calf numbers under 600 pounds were limited and the quality was sub-par. Interest for grass cattle has subsided but order buyers report ongoing demand from this sector. It’s that time of year when many auction barns have 300 to 700 head on offer. Smaller packages of lower quality are discounted but this year, feedlots are testing their skill and technology to produce a top-grade finished animal. Buyers are not shying away from these stragglers.
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In Central Alberta, a smaller group of light butter, larger frame, mixed steers averaging 955 pounds on silage/protein supplement diet with full processing data sold for $311. In the same region, a smaller package of fleshier 925-pound mixed, medium frame, red heifers sold for $294. North of Red Deer, a smaller group of thinner, large frame Angus blended heifers weighing 810 pounds dropped the gavel at $329. In North-Central Saskatchewan, medium to larger frame, lower flesh Charolais steers averaging 815 pounds were valued at $358.
In Central Saskatchewan, large-wide frame Limousin blended steers and on grass and hay diet weighing 710 pounds were last bid at $403. South of Edmonton, medium to larger frame, thin, tan mixed heifers around 705 pounds apparently traded for $340.
The market for lighter calves was extremely variable across the prairies. In Central Alberta, weaned Simmental mixed steers on grass and hay diet with full processing data averaging 655 pounds supposedly traded for $456. In Central Saskatchewan, a smaller package of 620 pound mixed steers reportedly sold for $432. In Central Alberta, medium wide frame red Angus blended heifer calves on hay and forage diet scaled at 655 pounds apparently notched the board at $390.
In Central Alberta, a handful to tan weaned 520-pound steers charted course at $480. In Central Saskatchewan, a smaller package of mixed 530-pound steers were valued at $438. In the Calgary region, a handful of mixed weaned heifers weighing 585 were valued at $394 and weaned black heifers around 510 pounds reportedly sold for $398.
Finishing and backgrounding operations are factoring in a $15-$20 jump in feeder cattle prices between now and August. When there is a quality package available, buyers are not afraid to bid the market to fresh record highs. It’s a very unique period in the cattle cycle.
