Cattle prices

[errolanderson]

A 400lb western Canadian calf is now worth . . . .

nearly 800 bushels of U.S. cash corn currently bid at $1.70/bu delivered U.S. elevator = $1.90/bu Cdn funds

[errolanderson]

no need for cattle price risk management . . . this is the new norm

(tell me to shut-up)

[mcdon]

feeders up the peg again today, live up 2.3.

[Hopalong]

Can remember a time when stock steer calves were 40 cents a pound,top quality milling wheat was $1.20 a bushel if you had wheat board quota or 60 cents a bushel if you sold it on feed or black market.

[15444]

Cattle price risk management won't mean a thing when this party crashes. Ontario's insurance program - 100 million dollar fund won't even cover 1/2 of the Ontario beef industry, if prices were to drop 25%, let alone 50%. This has already been admitted by directors of the provincial association.

Kind of doubtful if any province has the guts to completely back their cattle insurance programs if the bottom fell out completely.

[mbdog]

15444....provincial directors have heads up their ass....they are the problem. Covering ag losses is the least of the problem....

[SCS]

Turned down 3000 for bred purebred hfrs. Went through drought, BSE, tighten the cinch and maybe retirement will work!

[mcdon]

Feeders up another 21/2 cents this A.M., one more bearish analysis and we'll be at $3.00. Good on anyone that has stuck with their cattle through the tough times.

[bucket]

Be interesting to know what the equity burn was to stay in cattle for these tough years?

[Braveheart]

Bucket, it depended whose numbers were used. Current inventory values given by us or used by lenders was lower. AgStability seemed to have them much higher.

[bucket]

Braveheart

5 years in a declining market would of reduced their margins where the government could say they are helping but it's not designed to.

But keep trying to praise the conservatives for purposely losing a generation of replacement ranchers.

By equity burn it means what did they sacrifice to still be here.

Using the tractor to 15000 hours to where it's worthless. Driving a 20 year old half ton. Sons gone to other industries and not coming back. Mortgaging pastures.

The real equity burn is losing the sons to other industries.

[errolanderson]

15444 - feeder / live cattle put options.

no government involvement

simple tool with powerful price protection.