What happened isn't unusual, so I think you just reached the limit of what your machine is rated for. Like you said, there is a difference in the way the bucket pivots as opposed to the way the loader arms lift the whole assembly. That being the case, the roll of the bucket, or what mfgs usually rate as breakout force, will be greater than the lifting force obtained by the loader arms. So, if you were able to lift with plow by rolling the bucket but not by lifting the arms, I don't think you have any real issues with the hydraulics. Too, if the lift cylinders held position, and didn't collapse, that also tells me that the packing in them should be OK, and that the port relief (if it has one) on that portion of the system is OK too, otherwise it would have popped off and set the load down the second you got it raised a little, if not sooner.
That said, I've got an old 3500 Ford with a loader on front, and the backhoe attachment on the back. It has forks on it right now and appears like it should pick up a pretty good load, but the rating on the loader is only around 500 lbs. In other words I have discovered the hard way that it won't do as much as I thought it would do. In fact I've got many things sitting around that were moved with a skid steer and a set of forks, and the Ford won't touch them.
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Today's Featured Article - History of the Nuffield Tractor - by Anthony West. The Nuffield tractor story started in early 1945. The British government still reeling from the effects of the war on the economy, approached the Nuffield organization to see if they would design and build an "ALL NEW" British built wheeled tractor, suitable for both British and world farming.
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