Beef Demand.

You might stand back.  We wouldn't want to to get your clothes dirty, because the manure is fixing to fly.

Have you ever heard the expression "Big hat, no cattle"?  That's what we are dealing with here.  We have all of these high-paid, fancy-dressing "analysts" in their polished cowboy boots (which they wouldn't be CAUGHT DEAD wearing in town, by the way) who go around from meeting to meeting, convention to convention, and talk ad nauseum about beef demand to roomfuls of cattle producers.  I am hard-pressed to think of a more profound waste of time and energy.

Mr. Cattleman, sir?  Yes, you.  You reading this right now.  Come here.  Lean in.  Closer.  A little closer.  Now, don't ever forget what I'm about to tell you:

Aggregate beef demand does not affect you or your profitability in any way.  If you are depending on upticks in retail-level demand for ground beef, or institutional demand for Select Chucks to make you money on cattle, YOU ARE GOING TO GO OUT OF BUSINESS.  This is akin to a man who owns a copper mine obsessing about demand for trombones.  Yes, trombones are made out of brass, which is a copper-containing alloy, but global trombone demand is not the leading factor determining the copper miner's profitability.  Do you know what determines the copper miners profitability?  KNOWING HOW TO RUN A COPPER MINE.  Specifically, the relationship between the price he can sell COPPER ORE for, and his COST OF PRODUCTION.  Trombone demand is so far downstream from our miner, that on a practical, real-world basis, it does not matter.  It matters to the guy who owns a TROMBONE SHOP.  It doesn't matter to the miner. 

So, why do these analysts harp and harp and harp on things that have nothing to do with you and your profitability?  Simply put, because they have absolutely, positively NO IDEA how to make money in the cattle business.  None.  Zippo.  Nada.  We're talking ignorance on a scale that would require scientific notation to express.  Oh, but surely Ann, that can't be the case!  Sadly it is.  Think about it.  You are an analyst or broker who makes money off of commissions and/or subscription fees.  You are standing at the front of a roomful of cattlemen.  Don't you think that if you actually had something useful and helpful to say that you would say it?  If you passed along truly useful information that genuinely helped and improved the profitability of the people in the room, there would be a good chance that many of those same people would do business with you and generate profit for you.  See my point?  If these guys truly know the secret to the cattle business, why don't they SPIT IT OUT?  Why all of the deflection and avoidance?  Why are they trying to distract everyone by dazzling them with very impressive-sounding, albeit USELESS information?  Because, my little chickadees, that is all they can do. 

Now, compare that to me.  Goodness gracious, you can't shut me up.  20 schools per year throughout North America.  A 13-hour DVD set.  THREE blogs.  And speaking of brass, testicles like church bells.  (That's a figure of speech, of course.)  Because I actually have answers, all I want to do in the world is make sure that as many of you as possible can fully share in and partake of those answers.  This makes ALL OF US profitable together.  Because if cattlemen all go broke because they don't know how to make money on CATTLE, there won't be any retail beef demand to talk about. 

I'll talk more on this same subject tomorrow.  By the way, just to give you full disclosure, I do not own a pair of cowboy boots.  They aren't my style and I don't look good in them.  I would never dream of going out and buying a pair just to ingratitate myself to you.  To operate on the assumption that you guys choose who you associate with and who you do business with based upon FOOTWEAR is so incredibly insulting that it makes my blood curdle. 

I've been wanting to get that boot thing off my chest for nearly 15 years now.  Thanks!

Forecasters are killing the North American Cattle Industry.
"Global warming" is a complete fraud designed to advance the cause of socialism and enslave humanity.
Abortion is the murder of an innocent human being and is never justified under any circumstance whatsoever.
Every human being is a question, to which the ONLY answer is Jesus Christ.   

Ann Barnhardt
Barnhardt Capital Management, Inc.
www.Barnhardt.biz
888-799-4577
Ann@Barnhardt.biz

Bud Williams Marketing, Inc.
www.BudWilliamsMarketing.com
877-799-4577
Ann@BudWilliamsMarketing.com