DTN Early Word Opening Livestock 07/28 06:08
Cattle Futures Set for Mixed OpeningCattle Paper Staged for Mixed Opening
Live and feeder issues are set to open mixed thanks to follow-through
selling on one hand and short covering on the other. Lean hog contracts should
also begin with uneven price action tied to a slow combination of residual
selling and profit taking.
By John Harrington
Cattle: Steady to $2 LR Futures: mixed Live Equiv $157.05 + 0.75*
Hogs: Steady to $1 LR Futures: mixed Lean Equiv $ 89.85 + 0.20**
* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue
Although cattle buyers are thought to be especially short bought,
significant business will probably be delayed at least until Wednesday or
Thursday. That should mean that bids and asking prices today remain poorly
defined. Some feedlot managers are pricing ready steers and heifers around $148
in the South and $236 in the North. Live and feeder contracts seem set to open
on a mixed basis with more bull spreading likely to be quite prominent once
again in the live trade.
DTN offers additional daily information available free through DTN Snapshot – sign up today.