DTN Early Word Opening Livestock 10/03 05:57

DTN Early Word Opening Livestock 10/03 05:57 Lean Hog Futures Set to Open on a Firm Basis Hog paper should open moderately higher, supported by follow-through buying and signs of stabilizing cash. Live and feeder futures are expected to trade mixed in the early going thanks to both residual selling and short-covering. By John Harrington DTN Livestock Analyst Cattle: Steady Futures: Mixed Live Equiv $132.42 + .24* Hogs: Steady-$1 HR Futures: 50-100 HR Lean Equiv $ 78.02 - .55** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Expect a typically slow Tuesday in the cattle market with bids and asking prices poorly defined. Packers seem both short-bought and well-margined, factors that should start shaking out bids by midweek. Yet both sides will be closely monitoring the board, and if the vigil stays on the choppy side, significant trade volume may not surface until Thursday or Friday. Our guess is that asking prices will start out around $110 plus in the South and $174 plus in the North. Live and feeder futures should open on a mixed basis thanks to a combination of follow-through selling and short-covering.