Market Report - Week of September 8, 2023

Cattle Market Report:‍

Cattle markets had a strong rally the end of the week after a mostly sideways move over the week before. It seems like buyers came out of Labor Day weekend ready to fill orders. What a fun time to be in the cattle business. I know that inputs are higher. I know that there is always something to stress about in the business, but I watched 300 head of 5-5.5 cwt calves sell in the $2.70/pound plus range at my local auction. Use your own history for perspective, but I was selling similar calves five or six years ago in the $1.45/pound range. How long will it last? Who knows, but we can enjoy it for now and make wise decisions to help set us up for success moving forward. 

A lot of conversation is still about consumer spending and how that will affect the markets in the next six months or so. No one has seen that yet. I can’t decide if everyone changed spending habits over COVID, or if consumers are just racking up credit card bills again.

‍Grain Market Report:‍

A new report is coming out Tuesday which may affect bean and corn pricing. The expectation is that the corn harvest is strong, but the bean harvest is weak. The last few weeks both have dropped respectably. This is good for feeders even though margins are still likely to be little to negative for a while. Though some are indicating it has not been enough to be excited about. 

Cattle and Grain Markets for September 8, 2023

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‍Sheep Market Report:‍

San Angelo was better with $10-20 gains this week. Hamilton was $10 higher, and Goldthwaite was $10-15 higher. Fredericksburg was also up at $20 higher. The USDA estimated domestic lamb and mutton meat production for the week ending September 2nd totaled 1.95 million pounds on a 33,000 head slaughter this week. Imported lamb and mutton meat for the week ending August 26th totaled 6.49 million pounds, or 333 percent of domestic production.

Sheep markets for week ending September 8, 2023

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*No Quote ** Not Applicable

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‍Hay Market Report:‍

Higher quality hay is becoming increasingly harder to find as the last two crops across most of the west have battled weather. Later summer rains have eased concern for forage needs and have slowed trade some. Dairies and exporters are at a disadvantage due to the lower qualities. They may find themselves paying up once their demand is stronger.  ‍

*Ross Bronson and Redd Summit Advisors are not financial advisors, and this market report is in no way intended to provide financial advice. This commentary is merely meant to be insight and input about current market conditions. It is recommended that any market commentary be compared to your own trusted sources, experience, and market evaluation. Especially those that are more specific to your regional market dynamics.

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