Where are we at as an industry? If the border doesn't open to live cattle for another 6 or 12 months what happens?
I would appreciate anyones view on the number of cattle on feed currently. Were the firmer prices of recent months caused by shorter supply and feedlots keeping current or was there a bit of bluffing going on with feedlots playing that hand to put pressure on the packers? Or are feedlots in fact sitting on a very large inventory of cattle on holding rations awaiting the border opening. If that is the case will these now glut the captive market causing a large price drop which no doubt would be passed onto cow calf producers who have feeders to market?
I hear rumours that some of the feedlots are going to be in big trouble shortly as they had based borrowing on an open border and the banks are getting nervous - again.
Is this true or is it just posturing to get the feedlots to the head of the queue for the next round of bailout money which the Feds have indicated may be coming?
I would appreciate anyones view on the number of cattle on feed currently. Were the firmer prices of recent months caused by shorter supply and feedlots keeping current or was there a bit of bluffing going on with feedlots playing that hand to put pressure on the packers? Or are feedlots in fact sitting on a very large inventory of cattle on holding rations awaiting the border opening. If that is the case will these now glut the captive market causing a large price drop which no doubt would be passed onto cow calf producers who have feeders to market?
I hear rumours that some of the feedlots are going to be in big trouble shortly as they had based borrowing on an open border and the banks are getting nervous - again.
Is this true or is it just posturing to get the feedlots to the head of the queue for the next round of bailout money which the Feds have indicated may be coming?
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