Subsidies and tax advantages Kenny. Market is on the upswing and those in charge know there are lots of cows going to kill due to the drought.Can't see how $1600 heifers can convert to 1350 @ 1.24 which is $1674
I missed a word in my post, "pound". They were 1,000 pound heifers. One pot load of them.Nobody spends 1.6 million on a wild guess; they know something.
Thanks. I was trying to figure out why someone would have 1000 heifers for sale in one lot; thought it must have had to be a feedlot liquidation or something.I missed a word in my post, "pound". They were 1,000 pound heifers. One pot load of them.
Lots of grass guys summering thousands of yearlings and sell them in big groups.Thanks. I was trying to figure out why someone would have 1000 heifers for sale in one lot; thought it must have had to be a feedlot liquidation or something.
I took a real quick look at Superior's catalog for this sale. I didn't see any 1,000 head lots but I did see a couple 600 head lots. I saw one rancher selling 820 divided into two lots. In the past I have seen a number of people selling over 1,000 head. They are generally divided into several lots based on size and sex.Thanks. I was trying to figure out why someone would have 1000 heifers for sale in one lot; thought it must have had to be a feedlot liquidation or something.
Yep I found them. I stand corrected. Wow. Freight is 3.50/mile and a truck hauls 50k lbs . 3.5 per mile* 100Miles=$350/50k lbs=$.007 per lb *100 Lbs = $.7 per 100 lbsIf you want to sort through everything they sold on Tuesday you are welcome to do that. I watched them sell. They certainly pay more for cattle that are closer. Nothing new there. I don't know where you come up with that figure of 70 cents per 100 pounds per 100 miles. It sure never cost me that much to have a pot load of cattle hauled.
Do you contract every year? I haven't tried it yet but know allot of folks that do. Some of the guys are saying contract prices are what's keeping prices so low, I can definitely see were it would. What's your thoughts on that?Still happy we contracted in February!
There has only been one year in the last 15 that we contracted early and lost money. Last year we put them through the ring and lost money compared to an earlier contract so guess we are even!Do you contract every year? I haven't tried it yet but know allot of folks that do. Some of the guys are saying contract prices are what's keeping prices so low, I can definitely see were it would. What's your thoughts on that?
Sounds like you have a good grasp on things. $600 per steer calf is a good profit.There has only been one year in the last 15 that we contracted early and lost money. Last year we put them through the ring and lost money compared to an earlier contract so guess we are even!
It has been our experience that most years anticipation pays better than reality. We have never made a bad deal that we profited from.
It is also necessary for a producer to have a good grasp on markets.
Every cow here that has a steer calf on her will give us $600 back over expenses on the longest feeding winter we have ever had. The Char x heifers and likely the light end heifers will be sold on the open market as neither group will make a load. We will decide what to do with the top and middle once our hay is in.
Never contract your calves for less than you think they are realistically worth!
Then you want to contract early for $1.80Sounds like you have a good grasp on things. $600 per steer calf is a good profit.
Some of the reports I watch say that if rancher "A" contracts for a $1.50 in August, then why would a buyer give rancher "B" $1.75 in August. In other words Rancher "A" sort of sets the price for the month. You saying you rarely miss makes me believe this is true. I'm definitely not knocking people that contract. If Cattle was my only source of income or I was really needing things to go a certain way I'd definitely contract. It's just interesting to hear all the different views on what keeps prices low or what sets the price. I haven't watched Corbit in a while but I think he called it the 60/40.
I should have said why would a buyer give rancher "B" $1.75 at auction when he already bought at a $1.50 from rancher "A".Then you want to contract early for $1.80
