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western iowa,by Denison | very true Spankey,I just prefer to do my own marketing
been on the board I would think a high leverage producer with a $100 profit locked in on the board at $1.30 and have to pay a $38 margain call could be in trouble(40,000#x$38=$15,200) or about $456 head margain call if cattle go to $1.68
I know off some pruducers right now locked in that have huge margain calls-
If I'm a banker -I would have a real hard time understanding a $456 margain-even tougher to explain it to the bank board and bank examier!
Best thing that ever happen to me is that $100,000 plus loss in 1989 -1990 and a 1988 4450 replaced with a no-cab 4430
standing at farm sales because of a fallen cattle market isn't much fun on the back side
You best have your duck's in a row-or someone will rearange them -wither it be they local commodity club,producers or whoever-they payee is always you-no matter how good they are!
Then begs the second question-even if the banker understand's margain calls-who's skin is it? | |
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$152 cwt fat cattle today, and
