Cash fed cattle prices finally turned higher in the south, following in the steps of the north to add $2 per cwt to the cash market.
Can prices gained in last week's fed cattle rally be maintained? There is some concern that the lack of cattle moving in the cash trade is starting to back cattle up and hurt hard-earned gains.
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 cash cattle market reached its tipping point and began backward movement, but indications are that it will be short-term.
The lack of aggressive trade was noticed mostly in the south where cash trade could not get any higher than $1.00 last week.
This week's higher cash and futures prices have traders looking for additional gains next week. Packers gave up some leverage but their margins remain excellent.
Cattle feeders saw continued higher prices in the cash market last week with cattle in the South trading at $99 to $100, with the majority of the cattle going at the higher end.
Cow-calf producers have a lot to consider when it comes to marketing their calves this year.