Posted by kyhayman on November 16, 2014 at 21:17:48 from (184.21.43.32):
In Reply to: Farm economy posted by kickinbull on November 16, 2014 at 13:34:56:
I cant speak to everyone but in my case I see these cattle prices kind of like our turn at $7 corn. They will be gone sooner than anyone anticipates. At cattle meetings I still notice that Im one of the youngest in the room and Im closer to 50 than 40. I'll still spend money on things with a 20 year life span, if the return is shorter than that. Long investments, I cant see it. I'm winding down a bit too, and know a lot of guys who are. Not out, just down. I can run 150 momma cows, was at 57 this morning, now at 52, and plan to be at 37 to stay by spring. Over half my cows are over 10 and buying cows at these prices is like buying a combine and needing $7 corn to make the interest payment.
Plus, so many other things have changed. There are more cows and the horse industry, at least the high end that I target has picked up. People are spending, more in horses than cows. We built more custom fence, painted more fence, and rennovated more barns this year than in the last 8 years combined. But, so far its all on horse farms.
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