With the announcement of the TWIST package in the United States this week, the currency and commodity markets have been put into a volatile mess. I say mess, cattle feeders say relief. With the Canadian Dollar dropping below par for the first time since February, Canadian cattle feeders can now breath a sigh of relief... Read More
Category: Podcasts
The fall of 2011 may prove to be one of the most profitable seasons that the cow-calf producer has seen since the beginning of the last decade. Feeder cattle prices have begun the feeder run in Western Canada on a very hot step. Some will say though that the rancher needs a series of these... Read More
When you talk about factors affecting the cattle markets as we head into the feeder run, a number of things emerge. High commodity prices are creating a new normal when it comes to a baseline feeder price. Producers have to get over the initial sticker shock and adjust to the fact that higher feeder prices... Read More
In the last two weeks the feeder price and fat cattle price has moved in a very violent down and up swing. Is it based on fundamentals? I am not an analyst but someone that tries to follow the cattle industry closely and I have no way to tell you whether this market is going... Read More
Its sometimes staggering how quickly the mood of a market can change. With US cattle on feed placements being higher by 10% compared to a year ago the resulting plethora of beef to move to the market means lower prices in the short term. Canadian cattle feeders are getting the benefit of a very narrow... Read More
With the record high fat cattle prices behind us, we have entered the spring lulls which usually bring the same sentiment. This year many producers are staring at expensive inventory, potential sky rocketing feed costs and some nice profits made in the first four months of the year. With the seasonal summer lows expected to... Read More
When things are profitable for the feedlot operator, we generally see those operators start to fill pens. That's the historic trend and it just makes good sense. However, the Canfax numbers for March show cattle placements down again in Canada. As the number of cattle on-feed drop, producers who depend on those numbers begin to... Read More
Barley is bumping off of $200, corn is $7.00 per bushel and dressed cattle prices are just under $200. What is going on here? With inputs and cattle prices both in bull runs it is easy to get caught up in the assumption that this will last forever. As the old saying goes, what goes... Read More
It has been a challenging year for cattle feeders in the respect that unhedged cattle have performed well financially but the majority of cattle for progressive producers were contracted or hedged. On top of this is the fact that replacing cattle in the feed yard is very expensive based on the break evens that are... Read More
I can remember back earlier in the year when Anne Dunford told me that, "higher prices doesn't mean higher profits." It would seem that this is proving to be very true in the cattle markets. Feedyards that locked in with contracts are disappointed and wishing more cattle were being sold in the cash market. The... Read More