cow prices?

[cowman]

The western producer reports good bred cows in that $750-$1050 range with a top of $1250 for bred cows and $1470 on bred heifers. I was told younger bred cows at Innisfail last week were generally over $1000.
Well so much for the doom and gloom over bred cow prices! This market is on the move.
When I sat in on the bred cow sale a couple of weeks ago they struggled to get $1000 for three year old black baldies. The comment from the auctioneer was " Buy her now, she'll be worth $1500 next fall" I think he just might be right?

[melvill]

for the sake of the producers that are dispersing their herds I hope you are right cowman. Years of hard work to build a herd should see some decent return .

[cowman]

Caught part of the cow sale yesterday in Innisfail and it looked fairly decent. The dogs sold down in that $550-$650 range but decent cows were up around $850-$900. Never saw any real young quality cows sell.
The real buy, in my opinion, was bred heifers. Quality 1100 lb heifers were in that $1/lb. range.
A friend of mine bought 30 heifers for an average of $1075. I asked him how come he was buying? His answer: I've got all this hay that no body wants. Calf prices are too high to make any money. By the time I calve these heifers out and sell their calves I'll get my money back and make some money...I sure ain't going to make money on $20 bales!
It seems everywhere you look there are hay bales? The whole darned country is full of them! There is also a ton of tough barley and feed wheat! Where is it all going to go?
I believe the market for smaller calves(550 or less) is heating up and I believe the reason for that is farmers are trying to convert their hay/feed grain into something that might make them a buck? Last week I saw 550 lb. calves sell for over $1.40...now that works out to over $770! Obviously these calves are going to hit the grass next spring with a cost of at least over $850! Someone must think there is going to be one hell of a yearling market next spring?
At the cow sale the auctioneer said young quality ranch cows in South Dakota sold for an average of $1700 US last week! Ballpark that comes to $2125 Canadian! This border is going to open sometime...what does that make a cow worth?

[cowman]

Actually rereading what I wrote that 550 lb. calf, gaining 1.5 lbs a day for 180 days would cost $200 to feed this winter! Using 55 cents/lb. gain(which I was told was too cheap) plus $25 interest, plus selling expenses and trucking...say $25?
He would now weigh 820 lbs. on May 10th. So to break even he needs to bring over $1.18/lb.? Now I don't know about you but I like to make 15% profit on most of my business dealings or it isn't worth doing...just my opinion?
$970 plus 15% equals $1115 or $1.36/lb?
I don't think so.

[silverback]

Shhhhhhhh! lol

Is there just lots of non-farmer investment money buying these calves or is it american dollars?

[cowman]

I think a good portion of the money is tax money. A lot of feeders made a literal killing last year and need some expenses! Couple that with very cheap feed down on the farm and you have a situation that creates a hot calf market?
I believe there is probably quite a bit of American money floating around...maybe even some of our R-CALF friends?