Market is at Full Throttle
contributed article by Kirk Lynch
Lynch Livestock Inc. and Humeston Livestock Exchange, Humeston, Iowa
As the temperatures have decreased the markets have increased and continue to be on fire. Just like the past several months it has been an enjoyable time to be in the cattle business with what seems to be record setting prices about every day.
The feeder cattle continue to be high. The lighter cattle especially seem to be on fire, I would attribute this to the board being a little better later in the year and some producers rounding up some of these lighter calves, so they have some inventory when the grass turns green to turn out. Overall, the bigger 750-to-800-pound cattle are still bringing in the high $2’s and the lighter 500-to-600-pound cattle bringing $3 or more.
Fat cattle shot up during the months of December and January and we seem to have plateaued a little in February and found our top for the time being. There have been several tops in the barns in the high teens and some extreme tops in the $20s. Most cash cattle in the country have been bringing around $210 range. The cash market is well ahead of the board and has been for some time and with the tight numbers I would expect that to be the case for most of the year.
The cull cow and bull market has seen a recent jolt as well. In the last couple of weeks, we have seen good, high yielding cows and bulls jump about 20 to 30 cents per pound. As I am writing this article we are seeing some fed cows bringing close to $1.50 and bulls pushing $1.80. I would not be surprised to see this market push past those numbers easily by the time you are reading this.
As far as breeding stock, bred heifers are still trading in the mid $3,000 range and cows depending on age and preg status back from there. Seedstock sales have been excellent so far with good reason. When producers are weighing up their old bulls for $4,000 and cows for $2,000-plus, it is easy to replace your stock and improve your genetics.
Hopefully, the next time I am talking to you we will be talking about how spring is right around the corner. Wishing everyone a prosperous calving season and a safe winter, until next month!
Kirk Lynch, Lynch Livestock Inc., Lineville, Iowa
Kirk is the beef division manager for Lynch Livestock Inc. and oversees all aspects of their backgrounding and cattle feeding operations throughout Iowa and Kansas. He is also deeply involved in the Humeston Livestock Exchange in Humeston, Iowa. In addition, Kirk and his wife Mary own and operate Heartland Simmentals in northeast Iowa, which is a seedstock operation that consists of 500 registered Simmental and Angus cows. They have four children: Gabrielle (11), Brayden (9), Vivian (7), and Bianca (4).
Comments