Feeder and butcher cattle moving through the rings of Manitoba’s auction yards were being met with strong demand in early February, with solid prices for most classes.
“Demand is very strong, and there just aren’t enough numbers,” said Brennin Jack, manager of Heartland Livestock at Virden, adding that “fat cattle are really starting to move out west.”
The lighter feeder cattle were seeing the most strength given the optimism for strong butcher prices down the road, with heavier animals also strong but not climbing to the same extent.
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Jack noted there was still a relatively widespread between steers and heifers, with more buyers seeking steers giving that market an added boost compared to the relatively lightly traded heifer market.
However, while “there’s still a long way apart between a steer and a heifer… the heifers jumped quite a bit this week,” Jack said, noting high steer prices were causing some demand to shift to cheaper heifers. “There’s just so much pent-up demand for the steers.”
Lighter feeder steers under 500 lbs. saw prices topping $350 per hundredweight at the top end, while heifers in the same weight class were as much as $100/cwt cheaper.
For heavier cattle, the spread was narrower. Steers over 800 lbs. were trading in the $210-$260/cwt range, while heifers were generally in the $180-$235 area.
“South, west, east and some local — everyone seems to want them,” Jack said of the demand for feeder cattle coming from all corners.
For butcher cattle, the cow market has lagged the feeder market to the upside, but is also looking relatively strong, according to Jack.
D1 and D2 cows generally saw prices in the $90-$100/cwt range around the province during the week.
Looking ahead, Jack expected current strength in cattle markets would continue into spring, with profitable prices keeping the auction yards busy. Warmer spring temperatures will also result in road bans and muddy pens.
“We’ll see guys move cattle sooner or later before the mud comes,” said Jack, adding “we should be able to get through February, but March can be a mucky month.”
From a buyer’s perspective, “The cheapest thing in the market right now is a bred cow,” said Jack, adding that with the way feeder cattle are going, “if you can pick up a bred cow, that might be the smartest move you can make.”
