Printable Page Market News   Return to Menu - Page 2 3 4 5 6 7 8 9 10
 
 
DTN Early Word Opening Livestock       01/17 06:08
   Cattle Paper Expected to Open Under Pressure

   Live and feeder contracts are likely to open under selling pressure sparked
by struggling wholesale beef prices and ongoing technical concerns. On the
other hand, lean hog issues should open higher thanks to follow-up buying and
recent gains in the cash index.

By John Harrington
DTN Livestock Analyst



Cattle: Steady        Futures: 50-150 LR   Live Equiv $138.68 - $1.46*
Hogs:   Steady-$1 HR  Futures: 50-100 HR   Lean Equiv $ 85.90 - 0.38**

* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue

GENERAL COMMENTS:

   Packer inquiry in cattle country could start to improve at midweek. But if
the board remains relatively stable/firm, our guess is that feedlot managers
will dig in with higher asking prices (e.g., $122-123 in the South; $195-plus
in the North) until Thursday or Friday. Live and feeder futures should open
significantly lower, checked by faltering carcass value and uncertain cash
potential.
DTN offers additional daily information available free through DTN Snapshot – sign up today.
 
 
Copyright DTN. All rights reserved. Disclaimer.
Powered By DTN