LEXINGTON, Ky. — Horse racing has long been a sport for the rich, but lately even those who can spend more on a horse than most people spend on a house have been struggling with the bottom line.

Racehorses are selling at auction for a fraction of what they did a year ago, if at all. Breeding operations are slashing thousands of dollars off the fees they charge to mate with their top stallions. A volatile market for mares saw one sell for a record $14 million last month while others were discounted by as much as 50 percent.