Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211

advertisements
   
   
   
   
   
   
   
   
   
   

Agricultural News


Beef Markets Surprise with Unseasonable Fundamental Strength Supported by Cheaper Corn Stocks

Tue, 18 Sep 2018 11:00:26 CDT

Beef Markets Surprise with Unseasonable Fundamental Strength Supported by Cheaper Corn Stocks


Cheaper corn in the marketplace have apparently given some unexpected support to fall calf prices, so says Jim Robb, director of the Livestock Marketing Information Center. With a record corn crop expected this year, based on numbers out from the latest USDA Crop Progress report, the economics of the cattle feeding business look promising in the months ahead. According to Robb, historically, a 10 cent move in the corn market either up or down, results in a correlated reverse of calf prices in the Southern Plains by roughly a dollar per cwt.


“Clearly, corn is a major cost of production for the feedlots and that feeds back into calf and yearling prices rather quickly,” Robb said. “Now, we already had our breakevens for placing cattle last month at $128/cwt. So, we’ve already taken these cattle up, but they continue to ratchet up on the corn crop- probably more than anticipated.”


According to Robb, things are looking up in the wholesale side of beef as well. Now is typically the time of year during which we see boxed beef marking lower nearly every week. However, Robb says market fundamentals tell a much different story, currently.


“I think the major story is that the market is that on the negotiated side, the tonnage was very robust last week,” he said. “In fact, the largest tonnage for any week in that negotiated trade since mid-July. So, we’ve moved a lot of meat in the marketplace. That’s a pretty positive sign, especially at this time of year, and reflects underlying consumer demand for products.”


Listen to Robb’s complete analysis of the surprisingly positive trends that have developed in the beef markets as of late, with Radio Oklahoma Ag Network Farm Director Ron Hays, on today’s Beef Buzz.


The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR below for today's show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.



   



   

Hear Robb's complete analysis of the surprisingly positive trends that have developed in beef markets
right-click to download mp3

 

WebReadyTM Powered by WireReady® NSI

 


Top Agricultural News

  • NACD Says Proposed New WOTUS Rule Provides Opportunity for Locally-Led Conservation Efforts  Wed, 12 Dec 2018 14:53:57 CST
  • Wednesday Market Wrap-Up with Justin Lewis  Wed, 12 Dec 2018 14:46:50 CST
  • Wednesday Afternoon Market Wrap-Up with Carson Horn   Wed, 12 Dec 2018 14:42:24 CST
  • Distiller's Dried Grains with Solubles and Grains Sales Top $400 Million at 2018 Export Exchange  Wed, 12 Dec 2018 12:24:37 CST
  • Emily Skor Testifies Before Congressional Committee on RFS, Ethanol's Critical Role in US Fuel Policy  Wed, 12 Dec 2018 12:16:23 CST
  • What's Selling: Assoc. of Equipment Manufacturers Releases November Ag Equipment Sales Report  Wed, 12 Dec 2018 12:02:02 CST
  • As Farm Bill Nears Full Passage, Pork Industry Says Livestock Sector Poised for "Significant Victory"  Wed, 12 Dec 2018 11:53:53 CST
  • National FFA Announces National FFA Convention & Expo will Stay in Indianapolis Through 2031  Wed, 12 Dec 2018 11:48:13 CST

  • More Headlines...

       

    Ron salutes our daily email sponsors!

    Livestock Exchange Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit P&K Equipment Tulsa Farm Show Stillwater Milling KIS FUTURES, INC. Oklahoma Cattlemen's Association

    Search OklahomaFarmReport.com

    Find more about Weather in Oklahoma City, OK

       
       
    © 2008-2018 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.