Poor performance from CME futures on Friday limited what cattle feeders could gain back on the cash market from the declines over the last few weeks. The south traded $1 higher at $106. The north continues to maintain their premium over the south with cash bringing $108 and dressed cattle trading $175-$178 depending on location.
Feeders are staying relatively current with their marketing even with the challenges of having one packing plant down. The greatest challenge to the feeder today is having one less packer in the cash market.
The lack of packers in the market every week, provides less competition. In turn, this makes the bids harder to get because packers don’t have to fight each other as hard for the available cattle. This lack of competition between the packers is something that all feeders will have to deal with until Tyson’s Finney County is back online. The key going forward is that feeders stay current on marketings and try to fight this cash market with any leverage they can find.