Market Trends Continue as KEEJAN Concludes

The bloodstock industry's overarching trend of polarization towards the most desirable offerings continued to drive trade at the Keeneland January Horses of All Ages Sale this week, as the five-day auction concluded in Lexington, Kentucky Friday with dips in both average and median.

A total of 961 head changed hands during the sale for gross receipts of $28,785,500. The average price was $29,954, down 12.16% year-over-year from $34,099. The median decreased by 4.55% from $11,000 12 months ago to $10,500. The RNA rate was 31.4%–it was 25% in 2016.

“I think this January sale just followed the trends that had been established at the previous sales in September and November,” said Keeneland's Director of Sales Operations Geoffrey Russell. “The buzzword of the 2016/17 sales season is 'quality.' What the market perceives as quality sells very well. But if you're below that expectation, then it's a lot tougher.”

The priciest lot of the sale was Siren Serenade (Unbridled's Song), an 11-year-old daughter of MGISW Versailles Treaty (Danzig), making her a half to GI Breeders' Cup Juvenile Turf winner George Vancouver (Henrythenavigator). Already the dam of GISP 'TDN Rising Star' Luminance (Tale of the Cat), the bay was offered by Hill 'n' Dale Sales Agency as hip 145 and sold to Don Alberto Corp. for $1.025 million during the auction's opening session.

Oussama Aboughazale's International Equities Holding led all buyers with 11 purchases for $2,251,000.

“There were a lot of positives,” Russell noted. “There was very strong, competitive bidding during horses throughout the week. We had a million-dollar mare Monday. It was good to see Don Alberto get the sale topper and Oussama Aboughazale buying a farm here and the mares to go along with it–plus he's also going to support his own stallion Protonico. We're seeing owners buying mares to breed to these recently retired stallions, which is obviously positive. The trade was also very strong and fair for short yearlings.”

Taylor Made Sales Agency was once again leading consignor, selling an even 100 horses for $4,740,800.

During Friday's final session, 171 horses brought $1,306,400 at an average of $7,640–a 15.92% dip from last year's corresponding figure of $9,087. The median was unchanged at $5,000.

Machmer Hall took home the day's topper, paying $52,000 for 4-year-old broodmare prospect Singsong (Unbridled's Song). The grey, a two-time winner on the track and a $300,000 OBS April grad, was consigned by Douglas S. Arnold's Buck Pond Farm as hip 1669.

“If you looked at her page, she was worth about $30,000, but her looks were what did it,” offered Machmer Hall's Carrie Brogden. “She was every bit of the $300,000 2-year-old, and she could run a little bit. We're trying to stick with, if we can, young, happening broodmares sires and great physicals.”

When asked for her perspective on the market, Brogden, who is also a partner in Select Sales, said, “It's all about young and beautiful, or producers. And with stallions it's the same way–they don't cut them any slack. If they don't have a bunch of 2-year-old winners… it used to be in years past that they'd get a little more of a chance. But you've got to roll with the flow. The market shifts and changes, and those who are not shifting and changing with it will be left in the dust… I just think it's getting to be more about quality, but do I think that's a bad thing? I don't.”

Citing too much supply for current demand, she added, “Ultimately, I think these are corrections that are going to continue until we really figure out a mechanism of getting on the same page [in the breeding industry] as our sport.”