DTN Early Word Opening Livestock 01/25 05:50
25 Jan 2018
DTN Early Word Opening Livestock 01/25 05:50 Live and Feeder Futures Staged for Firm Opening Look for the cattle complex to open moderately higher, supported by follow-through buying and firming carcass value. Lean hog futures should begin on a mixed basis thanks to both long liquidation and short-covering. By John Harrington DTN Livestock Analyst Cattle: Steady-$2 HR Futures: 25-50 HR Live Equiv $139.86 + .60* Hogs: Steady Futures: Mixed Lean Equiv $ 87.14 -1.00** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cattle-buying interest could start to take shape Thursday with a few preliminary bids on the table (e.g., $120 in the South; $190 to $192 in the North). Yet we don't expect to see buying interest hot enough to trigger any selling interest. Given the firm behavior of live futures seen so far this week, asking prices will probably be stated around $126 to $127 in the South and $200 to $202 in the North. Significant trade volume may not surface until sometime Friday.