# Cattle Prices



## Tim/South (Dec 12, 2011)

It is hard for me to grasp the idea that cattle prices may remain this low for producers. Our calf prices here East of the Mississippi sell lower than the western states mostly due to shipping costs. That is understood and life. No problem with that.

I sold 19 this week, steers/heifers, weaned, 2 rounds of shots, on feed, paste dewormed. They sold well considering the market (20% above the market). I have fertilize and fuel money.

I saw some decent 6 wt. bull calves sell for .96 to 1.05.

Feed lots are losing money. Finished cattle are bringing 1.10-1.13 cwt. Should still be at Spring highs close to 1.30.

Packers are making a $280-$300 profit and owning them 2 days. The economy is well, meat is moving off the retail shelves.

Something has to give. We can not run a charity.


----------



## rjmoses (Apr 4, 2010)

One source I have told me that cattle producers in Nebraska were told to get rid their cattle because of the anticipated hay shortage this winter and that they would not be covered by insurance.

That makes me think that cattle are being dumped and that is why prices are low.

Don't know if that's true or just a rumor, but I can see the possibility. One guy I know hereabouts has 140 head and he baled and wrapped 300 bales of cereal rye grass. He has alfalfa but hasn't been able to get a cutting off it yet. We've only had one dry spell so far this year.

Ralph


----------



## swmnhay (Jun 13, 2008)

rjmoses said:


> One source I have told me that cattle producers in Nebraska were told to get rid their cattle because of the anticipated hay shortage this winter and that they would not be covered by insurance.
> 
> That makes me think that cattle are being dumped and that is why prices are low.
> 
> ...


well the hay shortage scare is over.A lot of PP acres will be seeded to forages.They can bale,graze or chop them Sept 1.


----------



## IHCman (Aug 27, 2011)

I've heard so many reasons for the low prices. Trade war scare, talk of 5 dollar corn this fall, over supply of beef. Who knows what to believe.

Prices here may have softened a little but still ok. Cull bulls and cull cows in good shape seem to still be holding up pretty good for now.


----------



## Tim/South (Dec 12, 2011)

The corn price scare may be some cause. It is not because of too many cattle. Carcass weights have been down all year, which means finished yearlings are being pulled sooner due to demand.
The tariff threat with Mexico gave reason for futures to drop. Then again, it seems they are always looking for a reason to drop future prices.
Some of it may be that the cash price on pork is down and beef competes with pork. That does not compute because meat is moving at increased rates off the retail shelf.

The meat packers are showing huge profits. They are the only ones in the beef industry making money right now.

Greed, just pure greed. 
I hope the price fixing lawsuit proves what we have suspected for a few years now.


----------

