Beef Buzz News
OSU's Derrell Peel Urges Fall Stocker Operations to Review Budgets Before They Buy Fall Feeders
Wed, 29 Sep 2021 19:27:43 CDT
Many wheat producers are hoping to get some wheat pasture planted this fall, while those who have already planted are waiting for rain. Today, Radio Oklahoma’s own Ron Hays spoke with Derrell Peel, extension livestock marketing specialist at Oklahoma State University, who said farmers and ranchers should be double-checking their cattle figures before bringing in new ones to graze soon-to-be-planted winter wheat pasture.
Listen to Ron's conversation with Dr. Peel here.
“The budgets have changed pretty dramatically in the last two or three weeks when you figure in what the futures market has done in terms of what it suggests for sale price in the spring,” Peel said. “But those budgets have looked pretty good going into the fall.”
First, farmers and ranchers should consider what the seasonal pattern does, in terms of the purchase price for cattle, going into fall, according to Peel. Next, farmers and ranchers should note that the futures market has undergone a significant correction, which takes much of the gravy out of the stocker budget, he added.
In Peel’s opinion, stocker markets have oversold in recent weeks. He said he would not be surprised to see stocker cattle futures markets come back a bit, offering a decent market opportunity when they do.
For Oklahoma, Peel said dry conditions are going to be the biggest concern.
“It is difficult to put wheat in,” Peel said. “We are going to be dusting it in and hoping for a rain.”
Aside from a lack of rain, there is always the threat of pests, he added. This year, Oklahoma’s armyworm plague has an appetite for grass, particularly lawns and pasture.
With all these moving parts, Peel is encouraging farmers and ranchers to go over their budgets again.
“The markets have been volatile enough that you have to look at them,” Peel said. “If the budget, based on those futures prices in the spring for feeder cattle, does seem to offer a margin, it is only meaningful if you take action to lock that in.”
Based on what Peel has seen so far, he thinks the risk if high enough that producers should at least double-check what their margins are before going forward with the same plan as in previous years.
Click on the LISTEN BAR below to hear more from Ron Hays and Dr. Derrell Peel as they talk about the ins and outs of winter wheat planting in Oklahoma and more on the latest USDA Cattle on Feed report and beef cow liquidation.
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.
right-click to download mp3
WebReadyTM Powered by WireReady® NSI
NCBA’s Kent Bacus Hopeful Biden Administration Will Pursue Deals Beneficial to US Beef Producers Fri, 15 Oct 2021 10:08:11 EDT
NCBA's Kent Bacus Talks Trade, Contrasts Biden and Trump Administrations Thu, 14 Oct 2021 20:07:24 CDT
Economist Katelyn McCullock Says Holiday Beef Prices are Expected to be High Wed, 13 Oct 2021 10:35:40 CDT
Dr. Bart Fischer Says Robust Price Discovery May Not Lead to Higher Cattle Prices Tue, 12 Oct 2021 10:48:23 CDT
More on Fall Calving Best Practices from Dr. Rosslyn Biggs Mon, 11 Oct 2021 16:31:33 CDT
NCBA's Todd Wilkinson Carries Message of Caution to Members of the House Ag Committee Fri, 08 Oct 2021 12:31:29 CDT
Cattle Producers Should Review Records Before Fall Calving Says Dr. Rosslyn Biggs Thu, 07 Oct 2021 21:15:27 CDT
Help Newly Arrived Cattle Recover Quickest by Providing High-Energy Feed Wed, 06 Oct 2021 10:09:20 CDT
Cattle Industry Waits for Third Quarter Numbers From 75% Plan Tue, 05 Oct 2021 10:25:26 CDT
Missouri Cattle Industry Leader Taking Wait-and-See Approach on Industry Price Discovery Plan Mon, 04 Oct 2021 11:29:07 CDT
Fiscal Year 2022 Kicks Off New and Proven Marketing Campaigns for Oklahoma Beef Fri, 01 Oct 2021 10:56:18 CDT
Hugh Aljoe Says Regenerative Agriculture Education Material Will Soon be Available Thu, 30 Sep 2021 09:53:16 CDT
OSU's Derrell Peel Urges Fall Stocker Operations to Review Budgets Before They Buy Fall Feeders Wed, 29 Sep 2021 19:27:47 CDT
Beef Cow Herd Liquidation Continues to Unfold Tue, 28 Sep 2021 12:47:54 CDT
Latest Cattle on Feed Report Shows Some Regions of the Country are More Current Than Others Mon, 27 Sep 2021 10:28:22 CDT
New Research Explores the Pros and Cons of Cash Cattle Markets in the U.S. Fri, 24 Sep 2021 10:16:19 CDT
New Research Shows Grid Market System Adds $700 Million in Value to U.S. Beef Thu, 23 Sep 2021 11:19:06 CDT
Don Close, VP of Rabo AgriFinance Explains How Beef Won Over the Chinese Consumer Wed, 22 Sep 2021 10:39:31 CDT
OCA's Michael Kelsey: We Need to Take a Pause on Issuing New Medical Marijuana Grower Permits Tue, 21 Sep 2021 13:19:27 CDT
NCBA's Josh White Says Beef Quality Assurance Produces Better Beef Mon, 20 Sep 2021 10:35:46 CDT
Certified Angus Beef Program is a Win for Producers, Processors and Consumers Says John Stika Fri, 17 Sep 2021 10:48:26 CDT
John Stika Believes the Pandemic Shows Consumers Want High Quality Beef Thu, 16 Sep 2021 08:07:17 CDT
Dr. Jody Wade's Advice to Cattle Producers is Stay Ahead of BRD Wed, 15 Sep 2021 13:14:02 CDT
Katelyn McCullock Sees High Hay Prices in the U.S. Tue, 14 Sep 2021 10:49:50 CDT
NCBA's Ethan Lane Believes mCOOL is Old News Mon, 13 Sep 2021 11:15:37 CDT
NCBA's Ethan Lane Heard Little New in White House Briefing on Competition Fri, 10 Sep 2021 11:45:17 CDT
Dan Halstrom Predicts 2021 Will Be a Record Year for U.S. Beef Exports Thu, 09 Sep 2021 11:15:04 CDT
Dietician Shalene McNeill Says Consumers Enthusiastic About Including Beef in Their Diet Wed, 08 Sep 2021 09:25:33 CDT
Shalene McNeill on Why You Should Feed Your Baby Beef Tue, 07 Sep 2021 12:20:07 CDT
Randy Blach Says Sustainability is an Opportunity for Beef Cattle Industry Mon, 06 Sep 2021 05:00:35 CDT
Although Beef Demand is High, Dollars are Slow to Trickle Down to Producers Fri, 03 Sep 2021 12:25:25 CDT
Dr. Harold Newcomb Says Strategic Deworming Helps Your Bottom Line Thu, 02 Sep 2021 09:33:31 CDT
Carbon Markets: The Wild West of Free-Market Enterprise Wed, 01 Sep 2021 10:38:53 CDT
Biden Administration Intent on Dumping Trump Era Navigable Waters Protection Rule Tue, 31 Aug 2021 16:57:44 CDT
NCBA's Scott Yager Says Redefining WOTUS Will Be Repetitive Mon, 30 Aug 2021 11:18:40 CDT