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Eastern NE KS | One thought to consider, traders are looking for a profit but first put their resources at risk, just like the rest of us.
While my neighbor is not a trader, he buys calves to join his home raised calves. His tactical pkan is to create a pot trailer load that feeders can transport as economically as possible. He buys ~10 extra head to tighten the group's uniformity. Calves are typically bulls needing castration, weaning and a good health/vax program. The turn around is early spring purchases and early fall marketing.
Now, take my neighbor's program apart, keep the value added activities but potentially skip the summer grazing step. Add an an aggressive turnaround where the calves are marketed asap. Is this program really any different from the first?
Or try to be even more aggressive, commonly called arbitration. Simply, buying a particular size that is undervalued at market A and selling at market B at a potential profit. Putting the operators wealth at risk, just where does the line into illegal behavior exist? | |
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