Last week’s $1 increase in cash fed cattle prices did little for feedyard profits, but the $6.40 rally in wholesale beef prices added another $25 onto already large packer margins.
Higher fed cattle prices ahead of the Thanksgiving holiday helped lift cattle feeding margins modestly.
A much needed price rally helped cattle feeders erase a lot of red ink last week
Cattle feeders saw closeouts with an average profit of $58 per head last week, down modestly from the week before.
Average cattle and hog finishing margins are both positive for the third consecutive week, according to calculations in the Sterling Marketing Profit Tracker.
Cash cattle prices stubbornly steady to $1 higher gave a slight boost to feedyard margins and left packer margins nearly unchanged last week.
Cash cattle prices improved $1 per cwt., helping lift feeding margins to $118 per head, according to the Sterling Beef Profit Tracker.
A $5 rally to cash cattle prices cut packer margins nearly in half.