Page 30 - Oct12020

MARKET REPORT
Feeder Cattle Daily
Live Cattle
Feeder Cattle: All you have to do is look at the corn market for a reason for the
Live Cattle: My thoughts center around this market stabilizing now. I’ve been
placing a bullish tilt to this market for some time now. I may need to temporarily
pull-back in feeders. If I owned a feedlot I’d be nervous to say the least. I do feel
the feeder market has overdone it to the downside and it will be tough to break it
place this on “hold” for a while. The higher placements the last three months will
have a negative impact on prices yet, so like they say, “All good things come to those
further. The early corn harvest has most feeder buyers in the field and I don’t think
they’ve really had time to concentrate on buying feeders. Let’em get caught up a
who wait”. I see production numbers staying over last years’ levels until at the
little and they’ll head to town.....checkbooks in hand....bulging with “corn” money.
least the end of the year. Beef shipments have been lagging last years’ levels now
This market will rally....wait and see.
for about a month. Two weeks ago they were 8% lower than last year. This weeks

report showed exports a whopping 56% lower than last year. This ain’t good. Low
imports and high exports have held this market up all summer. We’re starting to
lose some of that. I just can’t pull the trigger yet on long term bullish hopes.
and my not be suitable for all investors. The recommendations
Rich Nelson
express opinions of the author. The information they contain is
obtained from sources believed reliable, but is in no way guaran-
Allendale Inc.
teed. The author may have positions in the markets mentioned
815-578-6161
including at times positions contrary to the advice quoted herein.
rnelson@allendale-inc.com
Opinions, market data, and
recommendations are subject to change at any time.
What Does this Report Mean to Me?
Q #1 Allendale Inc. Trading commodity futures involves substantial risk of loss
LESSONS LEARNED resulting from virus related The Midwest Cattleman · October 1, 2020 · P30
What do you think the price of fats will be in April 2011
continued from page 17 supply chain issues, consum-
Answer: It’s hard to see the forest for the trees here, but peering through the foliage I see $105.00 fats on the horizon for April. Demand is
ers want meat, and in partic-
going to have to kick in though in order to get it.
Freezer beef is back! ular, they want high quality sumers trust you, and want This spring it resulted from
your product! Even during worker health issues that ne-
Last year if you wanted to beef. They trust in beef’s nu- times of tight cash, quality cessitated closing packing fa-
Q #2
schedule a beef for custom tritional value and prefer to beef purchased from a trusted cilities for periods of time. It’s
Due to the recent break in feeders, would you be holding your fall-weaned
kill, it was common to get an buy it from a farmer when cattleman sells! hard to chastise cattlemen
appointment within a month they can. that protect their margins
calves for a while or letting them go?
or two. Today, in many cases How long this seemingly Pricing isn’t always fair, by contracting or hedging at
Answer: What ever happened to the easy questions? This will depend upon your weaning sched-
butcher shops are booking out rediscovered phenomena will and maybe contracted profitable prices. Find a way
nearly a year. The message continue remains to be seen. cattle aren’t so bad to do the same regardless of
ule and your available feed supply. I’m long term bullish the feeder market but the “reality” of
seems clear. But, if you enjoy marketing The beef supply chain is- size and scale of operation.
right now probably dictates letting them go. If you keep them for an extra 30 days, make sure you
Despite some spikes in direct to the consumer, don’t sues that allowed freezer beef
minimize the grain in the ration. Grow them on good forage....”sell” $4.50 corn. If the fat market
price at the retail counter miss an opportunity . . . con- to become such a hot com- Imports are not the enemy
stays sluggish and corn prices don’t moderate, about the only thing you’ve got to hang your hat on
for “higher feeders” is “Hope”. modity is also what caused a At a time when retail beef
slowdown in fed cattle move- prices were escalating and
November 6th
ment this spring resulting in cattle were held on the farm
pressure on prices. Keeping a due to well documented sup-
Auction
feedlot current in this envi- ply chain issues, in some sec-
ronment is particularly dif- tors the importation of beef
Lunch at 11:00 a.m.
ficult for cattle feeders that came under fire. Few of these
can’t contract pot loads of fed imports are competition for
Sale at 12:30
cattle. Often in the past we’ve the high-quality beef raised
Sale Offering
suggested a solution to this in the U.S.
16 - 2010 Heifer Calves Jan. - May
dilemma being the ability to Imports are predominately
16 - Breeding Bulls 7 to 18 months
RH Standard Lad 0313
team up with neighbors and lesser valued lean trim that’s
16 - Spring Calving Bred Females
Solid As A Rock Sire Group
16 - Spring Calving Black Females
blended with domestic beef
collectively ‘work big.’ Reynolds Herefords
Bred to Hereford Bulls
Twice in the past year we’ve fat and utilized for hamburg-
8 - Fall Calving Pairs
1071 County Road 1231 food
seen the benefits of having er offered in most fast
6 - Show Steer Prospects
contracted cattle. First time chains. Without the imported
Huntsville, MO 65259
Both Horned & Polled Offered
was a year ago when a pack- lean trim to blend it with, fat
Home: 660-277-3679 • Matt: 660-676-3788
November 5, 2010 Sale offerings on
ing house fire temporarily re- from domestic slaughter has
Display 3:00 P.M.
• Barb: 660-676-4788
duced U.S. harvest capacity. little value and is most likely
CHB Dinner at 6:00 P.M.
rendered.
Call or E-Mail for Catalog Email: reynoldscattle@cvalley.net
cattle feeders concrete tanker fence Henderson Feed & Vet, LLCnderson Feed & Vet, LLC
cattle feeders concrete tanker fence
He
line tank stock freeze-proof pond tank
line tank stock freeze-proof pond tank BVDV PI TESTING and
BVDV PI TESTING and
THIS AIN'T
united stated midwest www.thecon-
NO BULL!
BOVINE PREGNANCY TESTING
united stated midwest www.thecon- BOVINE PREGNANCY TESTING
creteworks.com
(Accurate at 28 days!)
›› Concrete Cattle Feeders
creteworks.com (Accurate at 28 days!)
›› Super-Tanker Fence Line Protecti
Protecting your cattle from ng your cattle from
Freeze-Proof Stock Tank BVDV starts with testing -
BVDV starts with testing -
›› Freeze-Proof Pond Tank
and it pays off with reduced incidence
›› Delivery in the Cont. U.S. and it pays off with reduced incidence
of disease, decreased medial costs and
of disease, decreased medial costs and
mortality rates, and improved average daily gain
www.theconcreteworks.com mortality rates, and improved average daily gain
and feed efficiency.
and feed efficiency.
Identifying PI (persistently infected) cattle is
Reader Service No. 2163 Identifying PI (persistently infected) cattle is
OVER done with a convenient chute-side
done with a convenient chute-side
450,000 ear-notch sampling. Reliable results within 24
ear-notch sampling. Reliable results within 24
SOLD!
hours after receiving the samples.
www.theconcreteworks.com hours after receiving the samples.
7-6-18 Plains
Reader Service No. 2163
THE CONCRETE WORKS LLC Henderson Ranch * 23480 Hwy 7 * Warsaw, MO 65355
Office - 660-438-7105 * Fax - 660-438-2797
877-464-7575 Thad - 660-723-3591 or Leslie - 660-723-2927
www.theconcreteworks.com
7-6-18 Plains