Greg Henderson

Greg Henderson is Editorial Director of Drovers.

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It’s been a rough fall for cattle feeders, but cowboys found some signs last week that suggest the worst may be behind them.
Cattle feeders hope the cash market found its bottom last week.
The adjectives have all been used to describe the despair that is cattle feeding. Last week was simply worse than the week before, which was a train wreck.
Calculated breakeven prices for cattle shipped from feedyards last week were $170.12, according to Sterling Marketing, Vale, Ore.
Last week’s $2.50 rally in the cash market was another step in the right direction, but closeouts remain $26.46 per cwt. short of break even.
After slicing more than 50% off the monstrous losses found a month ago, cattle feeders saw their margins slip $43 per further into the red last week with $2 per cwt. lower bids.
Feedyard closeouts saw a $100 per head improvement last week, bringing losses under the $300 per head mark for the first time in months.
Last week’s $3 per cwt. decline in cash fed cattle prices dealt another cruel blow to feedyard closeouts.
Another miserable week left many in the cattle feeding business on the brink of financial ruin.
The crisis continues for America’s cattle feeders.