Formula Pricing

[Northern Rancher]

Does anybody buy or sell bred heifers that are priced in relation to the falls calf market. For example Heifer price= X x 500 lb steer price on a given date.

 

[Andy]

I know of some guys that bought heifers for 500lb steer price. Steers were 1.20 a LB and the heifers weighed 1000 lbs they were 1200$.

 

[oldblood]

Sold the low end of the heifers off the farm last week for $1250 they averaged 850# ever had any grain 9 1/2 to 10 months old. Helps make up for those bad years.

 

[Northern Rancher]

That's kind of how I've been pricing mine too Andy but it's going to seem obscenely high if cattle prices remain as forecast.