Markets doing well!

[cowman]

Innisfail had a strong sale yesterday with about 800 head selling mostly feeder cattle. There seems to be a feeling that things are going to get better whether the border opens right away or not!
A lot of optimism around all of a sudden? The auctioneer said that when this border finally cracks open we will see the hottest calf market we've ever seen! Hope he's right!

[johnboy555]

Yeah....right

[PureCountry]

Is it just me, or is it only coincidence that prices have increased across the board ever since the packers came under the microscope of media attention? Would there have been any change without the criticism they've been taking as of late? I saw some calves sell at 65 cents one month ago, and slightly heavier calves sold for 87 cents this week. So if they can afford to pay 20-25 cents more, how much money were they making then, and how much are they still making now at 87 cents?

[Horse]

Purecountry I agree that things sure turned around rather fast. Mabey the feeders that were quiet through the complaning of the cow man had a reason to be quiet when they were buying replacement calves they bought cheap now they stand to make a sizable profit where as the cow man has to wait until next yr to see if there is any profit it would be nice if we could turn those calves over every 4 mounths. Mabey we would see more trickle down effect.

[frustrated1]

Noticed that myself purecountry. I was wondering if all the serious talk of a few extra slaughterhouses was having some affect as well? Or is it just spec the border may open? again. Whatever way, keep it coming!

[greybeard]

If the border open fats will be $1 to $1.10 that day. If you by 8 weight calves for 85 cents and sell fats for 85 cents with a 65 cent cost of gain that's OK too.
The packers probably want to own some cattle to keep the plants running when the border opens as they will realy have to pay up to get most to deliver to them.

[cowman]

Despite the packers wailing about all their added expenses they have been making a killing. The boneless muscle cuts they have been sending south are in fact prime steaks heading for the premier restaurant trade. This market is still red hot and Canadian beef is at a premium price because it is barley fed. Which quite frankly is the trick...ever ate corn fed beef? Not good!
I doubt that the dramatic price increase had much to do with some grand scheme or something. Just supply and demand at work? This is the time where typically there is a lag between the last of the yearlings going to slaughter and the new crop coming in?