GFM Network News


A year-over-year decline in calf crops

A year-over-year decline in calf crops

Market Talk with Jerry Klassen

Over the past couple of weeks, I’ve received many inquiries about the price outlook for feeder cattle. Calving season has been in full swing for over a month for many cow-calf operations. Producers are concerned about price behaviour over the next four to six months given the recent meltdown in the financial and commodity markets. […] Read more

Beef production will likely be slightly below year-ago levels during the latter half of 2020.

Fed cattle market outlook

Market Talk with Jerry Klassen

Alberta fed cattle prices reached up to $275 on a dressed basis during the first half of January but have since come under pressure. At the time of writing this article at the end of January, Alberta packers were showing bids in the range of $262 to $265 delivered. April live cattle futures reached contract […] Read more


Feed barley outlook

Feed barley outlook

Market Talk with Jerry Klassen

I’ve received many inquiries from feedlot and backgrounding operators regarding the price outlook for feed barley. The Western Canadian feed grains complex made seasonal lows during September of 2019. Lethbridge area feedlots were buying feed barley at just under $200/mt delivered. However, the market started to ratchet higher during October. Adverse weather and the delayed […] Read more

After peaking in earlier October, yearling markets are now trending lower.

A few observations regarding the feeder cattle market

Market Talk with Jerry Klassen

Throughout the fall period, western Canadian calves were trading $10 to $15 below year-ago levels. Yearlings were quite firm earlier in September, reaching up to 52-week highs. After peaking in the first half of October, the yearling market has been slowly trending lower. This is counter-seasonal to price patterns we’ve seen in past years. Usually, […] Read more


The Federal Reserve’s influence on cattle prices

The Federal Reserve’s influence on cattle prices

Market Talk with Jerry Klassen

The U.S. Federal Reserve cut its key benchmark rate by 25 basis points on October 30, bringing its lending rate to the range of 1.50 per cent to 1.75 per cent. This was the third rate cut since July and it appears that Federal Reserve Chairman Powell will wait for further economic data before making […] Read more



Increasing Canadian barley production is likely to keep the market under pressure for the 2019-20 crop year.

Fall feed barley update

Market Talk with Jerry Klassen

It’s that time of year when I receive many inquiries about the feed barley outlook. During late June and early July, feed barley in the Lethbridge area was trading in the range of $285/mt to as high as $300/mt. At the time of writing this article in early September, feed barley was trading from $210/mt […] Read more

This spring had cattle-on-feed placements sharply higher than year-ago levels in the mid-weight categories which will result in a sharp year-over-year increase in market-ready supplies this fall.

Soft beef demand outlook for September and October

Market Talk with Jerry Klassen

Alberta fed cattle prices have been hovering in the range of $143 to $148 throughout the summer period. The market has been relatively stable without any major changes to supply and demand. Looking forward, beef production is expected to increase during September and October. At the same time, demand moves through a seasonal low. It’s […] Read more


The U.S. bond yield premium over Canadian bond yields is eroding.

Canadian dollar enters fresh fundamentals: Klassen

Market Talk with Jerry Klassen

Canadian fed and feeder cattle prices have been enhanced by the weaker exchange rate since oil prices crumbled back in the spring of 2014. At that time, the Canadian dollar was highly correlated with crude oil values. The Canadian election in 2015 contributed to the softer currency as the Liberal fiscal policies were negative for […] Read more

Constellation of prices for live, feeder cattle futures

Constellation of prices for live, feeder cattle futures

Market Talk with Jerry Klassen

The live and feeder cattle futures markets exhibit a behaviour commonly known as “the constellation of prices.” Understanding the price relationship between the live and feeder cattle futures can be invaluable when deciding to market calves or implement some type of hedging strategy using the price insurance. In this article, I’m going to discuss how […] Read more