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| Here's my problem, there are cattle still losing money. Although my losses right now are minimal, I know some that contracted calves that did not hedge for 2.60 last year that might lose 700-800 bucks?! Even heard potentially 1000 bucks!
Looking at buying calves, nothing makes sense. People should and will get more conservative when purchasing yearlings. They are close to a breakeven, but with poor performance Or poor basis they lose. So while I recognize that price can go up for no apparent reason, I believe feeders will continue to get cheaper until they have 100 bucks profit attached to them. At that point, there maybe a greater probability of higher prices. But if corn goes to 4.42, which I've seen thrown out by a lot of people, feeder prices will come down. | |
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