Compared to last week, western Canadian yearling prices were up $4-$6 while calf markets traded $6 to as much as $10 above week-ago levels. May feeder cattle futures are trading at a $8 premium to the nearby March contract. The carrying charge in the futures market has encouraged buyers to step forward sooner rather than […] Read more
Klassen: Canadian feeder market rationing demand
Demand from Ontario remains aggressive
Klassen: Larger supplies of backgrounded cattle weigh on feeder complex
Compared to last week, western Canadian yearling markets traded steady to $3 lower. Calf prices were quoted $5 lower to $3 higher. Backgrounded cattle appeared to have a softer tone as more numbers come on the market. Usually, the bulk of the volume for backgrounded cattle are animals over 850 lbs. However, this year, the […] Read more
Surge in China’s economic output will drive demand for all commodities
Strong resource demand and end of interest rate hikes will strengthen Canadian dollar
Ontario corn prices slowly percolated higher throughout January. Farmer selling eased but commercial traders had sufficient ownership to cover nearby commitments, which tempered the upside. Soybean prices are marginally higher compared to the first week of January. Export demand during the month was stronger than anticipated and commercial supplies are decreasing. The market needs to […] Read more
Klassen: Feeder market percolates higher amid finicky buyers
Ontario feedlots bring demand for West's calves
Compared to last week, western Canadian feeder cattle markets traded steady to $4 higher on average. Certain pockets in Manitoba and eastern Saskatchewan had steer calves up $4-$8 from week-ago levels. Alberta values were relatively unchanged from seven days earlier on all weight categories. Steady demand was noted from Ontario feedlots for calves while Alberta […] Read more
Klassen: Feeder market’s upward trend continues
Manitoba, Saskatchewan see limited gains
Compared to last week, western Canadian feeder cattle markets traded $2-$3/cwt higher on average. Southern Alberta appeared to lead Western Canada. Prices in the Lethbridge area were up $8/cwt to as much as $15/cwt from week-ago levels. Major operations have liquidated a significant amount fed cattle and become more current with production. There was a […] Read more
Wheat market at seasonal lows; Black Sea deal tenuous
Soybean, corn markets watching South American production
Ontario farmers have sold the bulk of their corn, soybeans and wheat, so basis levels are expected to strengthen later in winter as commercial stocks decline. Statistics Canada will release its survey results of Dec. 31, 2022 farm stocks on Feb. 7. Ontario soybean prices are at the highest levels since August. Soybean export demand […] Read more
Klassen: Feeder market price discovery continues
Ontario buying interest leading Prairie market
In last week’s issue, we mentioned there was a large discrepancy in prices across Western Canada. Compared to the third week of December, prices in Manitoba were up $8/cwt to as much as $15/cwt, while Alberta markets were steady to $2/cwt higher. This past week, feeder prices in the eastern Prairie regions were relatively unchanged […] Read more
Klassen: Feeder market looks upward
Quality of available cattle contributes to volatility
Western Canadian feeder cattle prices were quite variable. Compared to three weeks ago, Alberta prices were steady to $2/cwt higher while in Saskatchewan, prices were $8-$10/cwt higher on average with lighter-weight cattle jumping as much as $15. For example, in central Alberta, higher-quality 800-lb. steers were trading from $230 to $235 and 600-pounders were valued […] Read more
2022 corn, soybean yields lower than expected
The amount of winter wheat harvested in Ontario, however, was above expectations
Statistics Canada released its final crop survey Dec. 2 for 2022 showing corn and soybean yields were lower than expected. Ontario farmers harvested 9.44 million tonnes of corn, which was below our estimate of 10 million tonnes. Soybean production came in at 3.996 million tonnes. This was down from Statistics Canada’s September survey of 4.111 […] Read more
Klassen: Feeder market to start 2023 on firm tone
Counter-seasonal behaviour expected
There were no market reports last week due to the holiday season; however, I still received a few calls from cattle producers regarding the feeder market outlook for the first quarter of 2023. The feeder market finished 2022 at 52-week highs. Steers averaging 500 lbs. were readily trading over the psychological $300 level while 900-lb. […] Read more
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