Heifer vs Steer

[rockroadseminole]

Looking to buy a couple loads to run through the winter on grazing. Nervous about prices going down more next year, so was going to buy steers and hedge them. For whatever reason, 5wt heifers seem to be cheaper right now and the 7/8wts are -$12 on heifers and -$33 on steers. Are heifers due for a crash, or do you think they're the smart buy? Strictly looking at this from a margin play standpoint. Kinda thinking heifers, really don't want to get stuck breeding them though.

 

[JMJ Farms]

Steers will outgain heifers for sure. But that's not front page news. I personally would go with heifers simply bc in the event of a substantial price drop you would have the option to hold them and breed them. With steers your options are more limited. I think we will see a slight uptick around February but only time will tell.

 

[Brute 23]

I have zero experience with buying cattle and reselling like that but it seems with as weak as the heifer market is they would be a good buy. They appear to have more cost upside and less room to potentially fall in the spring. A guy just bought some heifers off us last week. He had tons of grass and wanted to put some thing on it. I charged him a hair over ab prices. His game plan is to sell what he can private treaty in the spring and run the rest thru the ring. Seemed like a good idea to me.

Hopefully some one with more experience will chime in. :tiphat:

 

[Coosh71]

Looking to buy a couple loads to run through the winter on grazing. Nervous about prices going down more next year, so was going to buy steers and hedge them. For whatever reason, 5wt heifers seem to be cheaper right now and the 7/8wts are -$12 on heifers and -$33 on steers. Are heifers due for a crash, or do you think they're the smart buy? Strictly looking at this from a margin play standpoint. Kinda thinking heifers, really don't want to get stuck breeding them though.

What are you grazing them on? Grass and a supplemental feed? Wheat?

 

[rockroadseminole]

What are you grazing them on? Grass and a supplemental feed? Wheat?[/quote]

Irrigated Rye, ryegrass, and clover mix. with supplemental feed as needed, but as little as possible.