The Standardbred Horse Sales Company mega-auction begins Monday in the midst
of a contentious presidential election.

by Dave Briggs

Nearly 50 years after he first came to the Standardbred Horse Sales Company sale in Harrisburg, PA as a caretaker for Hanover Shoe Farms, sale president and director of operations Dale Welk said he is just as passionate about an auction that has sold some of the greatest horses in standardbred history.

“It’s absolutely mindboggling,” said Welk, who came to work at Hanover 48 years ago. “I have sale sheets going back 30 years or more. I start looking at those and looking at the totals and just think how many millions and right into the billions of dollars’ worth of horses have gone through here and all the money they’ve made. It’s pretty humbling.”

Now that he is running the sale, Welk is even more invested in it emotionally.

“Even last year, I knew what went on with the yearling sale and why we were down because a couple of stallions just didn’t perform, but I still take it personally and think there’s something else that I could’ve done,” Welk said. “It’s hard for me to put it through my head.”

Last year, the yearling sale grossed $35.9 million, down 19 per cent from a record gross of $44,356,000set in 2022 (though 100 fewer horses were sold in 2023 compared to 2022). The 2023 average of $44,284 was off 10 per cent from the 2022 average of $49,066. The all-time record average of $54,653 was set in 2021.

Still, one down sale does not diminish the history of an incredible and important sale now in its 86^th year.

“When you step back and look at it, no matter how you look at it, it’s basically the largest standardbred sale in the world,” Welk said. “Nobody sells more and we’ve got yearlings and mixed horses.”

This year’s three-day yearling sale begins on Monday (Nov. 4) at noon when some 155 horses will be sold at the Pennsylvania State Farm Show Complex. The sale continues through Tuesday (10 a.m. start) with just shy of 400 horses selling. Nearly 360 yearlings are scheduled to be sold on Wednesday (Nov. 6). The two-day mixed sale starts Thursday (Nov. 7) at 11 a.m. and concludes Friday (Nov. 8) with a session that starts at 11 a.m. Complete information about the auction can be found on the Standardbred Horse Sales Company’s website.

Welk said he is bullish about the two catalogs.

“It’s loaded, the yearling sale,” Welk said. “I think we’re going to be great there. We’ve got a lot of half-brothers and brothers and sisters of some of the top racehorses in the business right now. I think we’re going to have a real good sale. I’m really, really optimistic about it.

“I’m sure that the mixed sale is going to be incredible… In my tenure, it’s probably one of the strongest mixed sale catalogs.

“I guess I should say that I’m a hair ‘cautiously optimistic’ because we also are in a presidential election. That’s always tough.”

PRESIDENTIAL ELECTION HAS POTENTIAL TO IMPACT INVESTMENT

What is promising to be a divisive presidential election will be held Tuesday (Nov. 5). Pennsylvania is a key battleground state. That day’s sale session will be over before polls close and since it’s unknown whether the winner will be known that night, it’s unlikely the results will impact the yearling sale much.

Welk said probably the biggest impact will be distracted buyers, particularly on Tuesday.

“I’m hoping not, but I have a feeling they are going to be glued to everything,” Welk said. “And I’m sure there are some that want to vote live and don’t want to do mail-in ballots.”

The ability to bid on horses via the Internet or send representatives to the sale to bid on their behalf means even those buyers not in attendance can still purchase the horses they want.

But Preferred Equine owner David Reid said the results of the election may have an impact on buyers’ economic outlook, which could impact their level of investment, particularly for the mixed sale.

“With the yearling sale, I don’t anticipate [the election] altering people’s overall plans, but it could impact certain people,” Reid said. “That said, I don’t think it’s going to have a strong impact.

“As far as the mixed sale is concerned, I think it’s a big churn business. The female section of the mixed sale, between the broodmares on Thursday and the race fillies on Friday… obviously, traditionally Harrisburg has a lot of breeding opportunities for those maiden mares and in-foal mares. I think with Lexington already in the books and the yearling sale already in the books, I think the breeders are going to have a good understanding of what their budget is going to be, if they are looking to reinvest it will probably be regardless of how the election goes.”

Also, Reid expects the election results should balance out people’s investment in horses. Those that pull back on a belief tough times are ahead based on either a Kamala Harris or Donald Trump victory should be balanced by those bullish about the economy going forward should their preferred candidate win the presidential race.

“Depending on which side of the pendulum that you’re rooting for or rooting against, then that could affect your decisions,” Reid said. “That’s going to be a personal decision. Truthfully, one group is going to be happier than the other and they may wash each other out… In theory, they should neutralize each other.

“But,I definitely feel that the election is going to have an impact on the U.S. economy, one way or the other. I’ll let people make their own determination, but leading into the election, I think people are definitely planning both ways and if a particular candidate wins or loses, I think there will be some adjustments in [investment] for all believers, one way or the other.I think that may weigh a little bit on strategic investment level.”

RECORD PURSES, MORE RACING OPTIONS STRENGTHENS MARKET

Blue Chip Farms owner Tom Grossman said certain economic indicators bode well for yearling buyers regardless of the election’s outcome.

“Given that the stock market is at all-time highs, and no one has a firm opinion on how the election is going, I would assume yearling buyers are probably fine either way,” Grossman said.

What helps inoculate the standardbred industry, somewhat, is record purse levels, many more strong sires stakes jurisdictions and the general health of thoroughbred sales.

This year’s Lexington Selected Yearling Sale set a record for gross sales ($67,916,300).

“Even since Lexington, we’ve just sold another 1,600 horses at Fasig-Tipton of thoroughbred yearlings,” said Rob Tribbett, general manager of All American Harnessbreds. “The market was strong all the way through to the last part of the sale and was strong really at every level. They certainly sell a lot of high-end horses, but there are a lot of people looking at the purse opportunities and want to be involved in the game and the tax advantages obviously are huge.

“I’d certainly expect to see the same thing at Harrisburg. There will be horses at all levels, but I think demand will be pretty strong.”

Grossman said, “the standardbred business, particularly, stands on its own merits. On the federal level, that stuff shouldn’t affect it a ton. Some of the state stuff can affect it more, but I think we’re in a great position in these different states — Kentucky and others — that the revenue for horses is very steady.”

Welk said despite the country being divided about the election, the sale company, “sent out more mixed catalogs this year than we did in the last few years and our yearling response has been really good. We sent out over 4,000 yearling catalogs.

“I’m really looking forward to it. Our online bidding is really coming together. That helps some people that have trouble getting here or it’s just easier for some people to bid online.”

with files from Matthew Lomon