Monday, September 13, 2010

For my rancher friends from Beef Magazine

A rancher is walking through his pasture one day and stumbles on a lamp. He picks it up and, just like the other stories, out pops a genie. The genie thanks the rancher for setting him free and grants him three wishes – one per year.  The rancher thinks for awhile before deciding that it’s been so dry the past few years that he wants lots of rain and belly-deep grass. Sure enough, the rains come and the grass is the best ever.

A year later, the genie returns and asks the rancher for his second wish. The rancher remarks that his current calf crop is the biggest, heaviest and stoutest he’s ever weaned. So he wishes for a six-weight market of $1.35/cwt. Sure enough, the market rallies and six-weight calves shoot to $1.35.

The third year, right on schedule, the genie appears to grant the rancher’s final wish. Without hesitation, the rancher asks for $1.35/cwt. calves again. The genie is perplexed and asks the rancher: “Why would you wish for the same thing as last year?”

Looking sheepish, the rancher squirms around a bit before admitting that he hadn’t actually sold his calves for $1.35. “I held out for $1.40,” he says.

3 comments:

  1. For those not in the cattle business, many's the rancher who COULD have sold his calves for $1.35 but held out for $1.40 only to see the market drop substantially.

    Bulls get rich, Bears get rich, Pigs eat ____.

    ReplyDelete
  2. Fodder you have just accurately described the U.S. housing market of about three years ago. And we're not out of the hole yet.

    ReplyDelete

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