western colorado | pknoeber - 4/12/2021 11:38 You ever see the price of steak drop when the cattle market goes to crap?
It sure does when the economy goes to crap. To put things in perspective the lumber contract is traded in 1000 board ft. Breakeven for the big mills is $260ish around here. Todays cash is $1100+. I haven't figured break even on cattle today with feed prices ect. Lets use a dollar to make it easy. Figures out to fat cattle at $4.23 is the equvilant to $1100 lumber. I will say the lumber market from producer to end user is different with very few mills direct wholesaling to the retailer. Typically they will lock in a long term price with a broker. Guess who is making all the money? |
Building material prices vs interest rates. Build or wait?
