As I write, cattle prices are at historic highs. Some fat cattle have been sold for $1.00 per pound, live weight. Because of this high demand for meat and producers not wanting to risk a market drop when they have cattle close to finish, the fat cattle market has shifted to lighter cattle with less finish. So, in an effort to satisfy the meat market, cattle have been sent to slaughter sooner than normal, creating another void to follow if something doesn't change.

During high fat cattle prices, there will be good prices for feeder cattle, too. Because the market could change, the spread between the feeder market and fat market are better than they were at the lower fat cattle prices we're accustomed to.

In a previous column, I wrote some formulas to predict or evaluate breakeven prices. Again, you can use these formulas to decide whether you want to risk a present profit in exchange for the potential for a much larger (or, indeed, smaller) profit later on. One thing is certain: When fat cattle are selling in the 80- to 90-cent range, with feed cost per pound of gain at 40 cents (plus or minus a few cents), there's plenty of room for profit.

Recently, I walked through the pens of MFA's finishing cattle. We are comparing three feeding treatments: TrendSetter SLR with whole shelled corn and no hay; cracked corn and TrendSetter SLR with hay; and ground corn and TrendSetter SLR with hay.

Previous research shows that grain intakes are approximately 3 pounds lower per day when cattle were fed ground corn. The cattle gained most on the shelled corn/SLR and cracked corn/SLR/hay treatments. Grain intakes are the same with whole shelled corn/SLR versus cracked corn/SLR, but with cracked corn/SLR, the conversions are not as good because of the added hay. Gains are essentially the same.

Summary
Looking over 92 head of cattle averaging 1,150 to 1,200 pounds, I noticed one steer a little stiff and another steer showing slight founder. However, both of these animals looked good. As I continued to check, I discovered that both of these steers are currently on cracked corn, SLR and hay. As I investigated further, I saw that these steers displayed the same problems when the trial started. Both were on soyhulls and corn gluten feed previous to the trial ration. None of the trial steers that had previously been on corn and TrendSetter SLR mixed at 50:50 showed any problems. All of them are even, in good health and show no signs of acidosis.

Even though the steers on whole corn and SLR get no hay at all, they are not eating grass or licking dirt as most cattle do on high-grain diets. To date, in these trials and previous ones, I have yet to see a steer on whole shelled corn and TrendSetter SLR with no hay founder, die or get sick.