Jan

12

Keeneland Sales – Ouch

by Barry Roos
Published: January 12, 2010 Leave a Comment
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As it seemed the economy was starting to pick up, expectations in Lexington were optimistic for the January Keeneland Sale. Well if the first day is any indication, there will be a lot of unhappy folks in Lexington. Sales totaled $6,592,600. This is down a tremendous 44.81 percent from last year’s $11,945,900. The average price was $37,037, this was down 37.37 percent from last year.

So what’s going on? Although people’s 401ks are up, and the market has been up, the banks still aren’t lending money, and the effect is beating the crap out of horse sales. Although the county bailed out the banks, the banks have taken their profits, and made it very hard for businesses to grow as loans are hard to come by. Well, as horse racing for most people is a hobby or a secondary business, people are apprehensive to part with dollars when profit making in racing is rare.

The horse market is a good indicator of how the economy is doing. Being a candy store industry, you can bet when the economy thrives so goes racing. Right now, that isn’t the case.

The good news: If you ever wanted to buy broodmares, or young horses, now is a great time. If you have a few shekels to spare, jump in as bargains are abundant. For those whose businesses have thrived in the down economy, broodmare bands can be built or bolstered with opportunities that are rarely seen.


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