Drought Likely to Impact Cattle Markets for Years

2011 06 08 Slide1_001

The following article is taken from the Cow-Calf Corner newsletter published by Oklahoma State University. Dr. Derrell S. Peel, Oklahoma State University Extension Livestock Marketing Specialist The on-going drought in the Southern Plains and surrounding regions is having immediate market impacts and, with each passing day is increasingly likely to have multi-year impacts in the […]

Chart of the Week

2011 04 21 COFapril2011

Dr. Curt Lacy (UGA) On April 21, USDA released its monthly Cattle on Feed (COF) report. While the report indicated a larger number of COF compared to a year ago, there is more to the story than many might think. For starters, the year over year increase really illustrates the impacts of the drought in […]

Chart of the Week

2011 03 13 500-600vs

Dr. Curt Lacy (UGA) An interesting phenomenon that has been occurring during the recent run-up in feed prices has been the consistent spread in calf and feeder prices (see chart below). Back in 2008 when feed prices reached their historical highs, the spread between 500-600 pound steers and 700-800 pound steers narrowed to $3.52 per […]

Chart of the Week

2011 03 03 calfprices-march52011

Dr. Curt Lacy (UGA) Calf prices have continued their meteoric climb. Since the first of the year, 500-600 pound calf prices have averaged almost $125 per hundredweight. For some perspective, this is 27 percent higher or $26 per hundredweight more than for the same time period last year. More importantly, these higher prices translate into […]

Chart of the Week

2011 02 15 G-NP-Annual_000

Dr. Curt Lacy (UGA) 500 pounds calves sell for $125/cwt. plus! Slaughter cattle selling for $105+, what could possibly go wrong? Plenty. The chart below shows the very strong relationship between corn supplies and prices. Given what we know about the tight global grain supplies, producers are strongly encouraged to keep a close eye on […]