# Back to Economics 101 for feeder cattle - Grainews

> Jerry Klassen's column explains the fundamentals that set calf and yearling prices, including feeding costs per pound of gain and the expected fed cattle price at slaughter. He notes feedlots bid feeder prices up until margins are minimal. The piece is educational and gives no new market move.

- Date: 2020-03-13 · published 2020-03-13T12:00:00.000Z
- Category: market · region Global · magnitude low
- Page: https://feedsoft.ai/events/54265-back-to-economics-101-for-feeder-cattle-grainews
- Commodities: [Corn](https://feedsoft.ai/c/CORN.md), [Barley](https://feedsoft.ai/c/BARLEY.md)

## Why it matters

Feeder values depend on expected finished cattle prices and feed costs, so corn and barley prices feed directly into what feeders can pay. The column offers a framework rather than a new shock.

## Read by commodity

- CORN: neutral
- BARLEY: neutral

## Sources

- grainews.ca: https://www.grainews.ca/cattlemans-corner/back-to-economics-101-for-feeder-cattle/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.