DTN Early Word Opening Livestock 06/11 06:27

DTN Early Word Opening Livestock 06/11 06:27 Renewed Buying Expected Tuesday Strong early-week gains are expected to spark additional underlying support through the entire complex. Follow-through buying is likely to be met with attempts to cover positions following the triple-digit gains that developed Monday. By Rick Kment DTN Analyst Cattle: Steady Futures: Higher Live Equiv $144.65 +0.22* Hogs: Steady to $1 Lower Futures: Mixed Lean Equiv $89.07 +0.98** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cash cattle activity is expected to become more active over the next couple of days with initial bids potentially developing in the South either Tuesday or early Wednesday. The trend toward early-week trade in the South is starting to pick up momentum over the last month to six weeks, which is creating expectations of trade midweek or later. Asking prices in the North and South are still generally undeveloped, but expected to remain near $115 live and $185 and higher dressed. Futures trade is likely to bounce higher at opening bell with live cattle trade having expanded trading limits of $4.50 per cwt following the limit market move in August contracts Monday. The swift move higher Monday has broke away from concerns of moving through support levels and testing contract lows once again. With August futures at $106.30 per cwt, the next resistance level set at the end of May remains at $107.85 per cwt. A move above these levels could spark additional long-term support through the entire cattle complex.