Winter Livestock Feeder Cattle Report
11/06/2009 11:04AM
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The sun is shining! It seems like the last several weeks have had a lot of overcast, rainy days in them and the last few have certainly been beautiful. The wheat that is planted looks like it might be growing by the minute, and the cattle, and most people, sure look a lot more content than they were. Of course, maybe it is just the better market that seems to be helping too!
There is a lot more optimism in the air lately. More folks seem to be driving around town, going shopping, buying calves, getting crops out of the field, etc. With the price of wheat and corn where they are at, a lot more calves and yearlings are finding new owners. Feedlots are a little more optimistic about cattle, and stockmen are a little more enthusiastic about buying some calves.
The calf market is sure on an uphill trail. Some calves might be $10.00 higher than they were just a few weeks ago. Weaned calves are bringing the premium that they are worth, with some weight classes having as much as $20.00/cwt difference between the truly weaned calves and totally unworked ones. That can be as much as $100.00 a head or more difference! Of course the heifers still seem to lack the ability to catch up with the steers unless they are going to be turned into cows.
The big numbers of calves will be showing up in the next two or three weeks. There will be literally thousands and thousands of calves moving across the nation, and there will be an excellent opportunity to buy cattle to turn out. Lots of calves are weighing closer to 600 lbs than they are to 400 lbs and it sure seems like those little ones are bringing a premium. For close to the same dollars per head, a person can own 100 more pounds of calf!
The numbers of cows moving to town have also increased. Even with the nations cow numbers very low, it sure seems like a lot of older cows, and even some younger ones, are heading to the packing plant. It is hard to understand how a calf right off the cow might bring $100.00 more than its mother, who’s going to have another calf this spring. If we are turning money out on pasture, what is wrong with turning out more animals for the same amount of money, or more beef for the same amount?
The agriculture industry is blessed with sometimes being behind the times. We do not see the big recession at the same time everyone else does, and of course, it is impossible to find cattle people spending BILLIONS of dollars for anything! Maybe agriculture will eventually catch up, we can certainly hope so! There are still as many opportunities out there as you can make!