Sale Barn Report 5/18

[Caustic Burno]

Prices down today 900 head through Livingston.
Overall quality of the cattle ran through lower as well.
4 to 5wt heifier's 1.13 to 1.56 I got 1.56.
4 to 5 wt steer's 1.60 to 1.63 I got 1.61
5 to 6 H 1.04 to 1.40
5 to 6 S 1.25 to 1.55

Cow's depending on grade .50 to .87 for cutter's.
Slaughter bulls .90 to .98

Back to farm cow's 800 to 1200
Pair's 1100 to 1500.

 

[cross_7]

As a cow/calf guy those prices sting some after 2.00 plus a month ago, but as a stocker guy I can finally pencil a profit with 400-500 @1.55 and 700-800# @1.25

 

[kenny thomas]

I need to buy 70 475 lb average, bull and steer calves in the next couple weeks. They are cheaper here also.
Cow/calf pairs are still high though. I need several of the pairs.

 

[Caustic Burno]

As a cow/calf guy those prices sting some after 2.00 plus a month ago, but as a stocker guy I can finally pencil a profit with 400-500 @1.55 and 700-800# @1.25

The numbers today were up by 300 head. Crockett busted a 1000 head this week first time since the drought.
These numbers through the barn will dry up as people are dumping more cow's.
Lot of worry over hay here real or imagined, last year at this time I already had my supply in April.
Haven't got the first cutting yet this year, plenty of moisture cool nightime temp's has kept our grass from growing.
Most here are still operating under the burnt child scared of fire philosophy.
Lot of good middle aged cow's through the barn today no buyers other than slaughter.

 

[jasonleonard]

I went to a sale in middle WVa this evening. Watched 4 wt blk steers(fat and bawling) bring $150 a cwt.....and weaned off 580 Lb blk bulls (hide and bone- not fleshy) bring $100 a cwt.
I can't see how there is that much risk in these cutting bulls??? Almost 200 pounds more calf for the same amount of money!

 

[denvermartinfarms]

I went to a sale in middle WVa this evening. Watched 4 wt blk steers(fat and bawling) bring $150 a cwt.....and weaned off 580 Lb blk bulls (hide and bone- not fleshy) bring $100 a cwt.
I can't see how there is that much risk in these cutting bulls??? Almost 200 pounds more calf for the same amount of money!

Please tell me you bought the weaned black bulls for 1.00. If there is not anything else wrong with them other than still being bulls, and they were of any kind of quality they sound perfect to gain fast.

 

[jasonleonard]

Denver,didn't buy anything the last couple weeks. I have plenty of grass but I think cattle will get cheaper this summer unless the 2013 corn crop starts to look really promising. I struggled to keep my hand down tonight!

 

[herofan]

So, what happened? I've only been back in for about a year and a half and am not an expert on the ups and downs of cattle prices. I thought I read numerous headlines several months ago where cattle prices were predicted to set record highs again in 2013 and on into 2014. I suppose "prediction" is the key word, but what was in place that led everyone to believe prices would stay high, and what changed?

 

[dryfork2]

Glad to hear your back on your feet CB. Market was down this week also on feeders in our area. Seen 61 900+ black steer good quality 115.50

 

[Caustic Burno]

With my pencil it is close to time to getting out completely,
Input cost makes the average cow to making 50 to 75 dollar's a year, that is getting real close to not being worth messing with. Our input's are going up every week and the order buyer's are dropping price's because of feed price's.
If a 4 to 5 wt can't bring at least 650 to 700 a head there is no profit margin. I figure going on last year's number's my cost right at 500 dollar's to keep a cow standing in the pasture a year.
I am not going to maintain welfare cattle to feed someone steak. We all need go ahead and dump enough or hold until the buyer's get the message we have to make money as well for this to work .
What are they going to do when we quit supplying them and they are out of a job as well. For once we need to stick together and hold the crop and send a message. We are the absolute worse at cutting each other's throat as a group and our own worse enemy,

 

[BC]

With my pencil it is close to time to getting out completely,
Input cost makes the average cow to making 50 to 75 dollar's a year, that is getting real close to not being worth messing with. Our input's are going up every week and the order buyer's are dropping price's because of feed price's.
If a 4 to 5 wt can't bring at least 650 to 700 a head there is no profit margin. I figure going on last year's number's my cost right at 500 dollar's to keep a cow standing in the pasture a year.
I am not going to maintain welfare cattle to feed someone steak. We all need go ahead and dump enough or hold until the buyer's get the message we have to make money as well for this to work .
What are they going to do when we quit supplying them and they are out of a job as well. For once we need to stick together and hold the crop and send a message. We are the absolute worse at cutting each other's throat as a group and our own worse enemy,

I wear two hats. I have a small cow-calf operation so I see your point and fully understand your position on not doing this for nothing. My other hat is as a part time order buyer making two sales a week (my hunting, fishing or golf). It is hard to find customers willing to gamble on stockers right now (go back to your burnt child theory). I got 7 steer/bull calves for a customer yesterday that averaged 498 @ $143.89. These were 1 1/2 upgradeable type calves.

Box beef prices have risen nearly $20 per cwt over the last month and reached a record high of $208 this week, yet the packers are stuck on offering $125 cwt on fats. They are telling cattle feeders that the meat isn't moving. They tell feeders that their kill slots are filling up and if the feeder wants to get them off the feed bill here is what the packer will give. We do see consumer resistance when fat cattle get to $129 to $130 per cwt.

As to holding animals off the market or reducing our numbers to make them worth more, that isn't working. Look at our total cow numbers and sale barn runs now compared to pre-2011. Feedlot placements were up in April. Where are the cattle coming from?

 

[kenny thomas]

I know the reports show numbers on feed are up and I keep wondering where they come from also. I really dont think we have any true idea how many cattle are out there. Even though I am a small producer that does not depend on the cattle for a living I have began to stall out on the prices I pay for calves. I want to make a little profit and it seems to be getting less all the time.

 

[highgrit]

Our Beef check off dollars aren't working in our favor. I think a lot of our beef is imported and there playing games with our beef.
I saw where 4 dollar corn is a real possibility this year and diesel fuel is cheaper. So why is the beef price going down??

 

[backhoeboogie]

Cleaning out a closet I found a Meridian Livestock Commission report in a '96 newspaper. Amazing. Young replacements 300 to 375. Steers in the 40 to 50 cent range.

 

[Caustic Burno]

Our Beef check off dollars aren't working in our favor. I think a lot of our beef is imported and there playing games with our beef.
I saw where 4 dollar corn is a real possibility this year and diesel fuel is cheaper. So why is the beef price going down??

Amen.

 

[BC]

Our Beef check off dollars aren't working in our favor. I think a lot of our beef is imported and there playing games with our beef.

I suspicion we are getting animals from south of Mexico. Mexico was in a bad drought a year or two before we were and just about sold out yet the trucks have been coming north. Thank you NAFTA.

I saw where 4 dollar corn is a real possibility this year and diesel fuel is cheaper. So why is the beef price going down??

Remember the spring of 2012 and 4 cwt steers were bringing $2.00 a lb for the cow calf man? Those calves are now coming out of the feedyard and losing over $160 per head. See http://www.agcenter.com/newcattlereport.aspx

The folks that are still willing to feed cattle are determined to make back some of the equity they lost the past year. Unfortunately, I think we are going to have to be content with $700 for calves coming off the cows weighing 475 to 525.

 

[Tim/South]

Retail beef prices set new record highs 6 times during the last 2 weeks. Packer profits have improved by $180 pr head. Feed lots, stockers and the cow-calf operations are just getting by, if that. There were more cattle on wheat than expected. The long winter allowed them to remain and graze longer than normal.
Spring has finally arrived and beef consumption is up. Chicken and pork are also up which is good news for beef prices.

In my opinion the http://en.wikipedia.org/wiki/Packers_and_Stockyards_Act is not been enforced. Playing on a level playing field would be nice for a change.

 

[greybeard]

So, what happened? I've only been back in for about a year and a half and am not an expert on the ups and downs of cattle prices. I thought I read numerous headlines several months ago where cattle prices were predicted to set record highs again in 2013 and on into 2014. I suppose "prediction" is the key word, but what was in place that led everyone to believe prices would stay high, and what changed?

Maybe that was "beef prices" the writers were speaking of--meaning consumer end.
Those did set a record in 1st week of May when it finally started warming up a little. What changed?
The weather for one thing. Winter kept sticking around in much of the country thru April and into May, and consumers didn't get into their beef buying mode (think bbqs here) and those decreased demands were reflected in buyer's bids.