DTN Early Word Opening Livestock 12/17 06:38

DTN Early Word Opening Livestock 12/17 06:38 Cattle Futures Look for Renewed Support Tuesday Morning Early activity in all livestock trade is expected to remain sluggish with cattle traders focusing on the limited pressure that developed Monday, attempting to hold onto the momentum that developed late last week. Follow-through support in hog trade is expected during early activity. By Rick Kment DTN Analyst Cattle: Steady Futures: Mixed Live Equiv $143.01 +0.64* Hogs: Steady to Higher Futures: Higher Lean Equiv $ 84.48 -2.32** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Activity in the cash cattle market is expected to remain subdued once again, although by the end of the day, it would not be surprising if there were a few asking prices. Although the general tone of the cash market appears to be steady given the upcoming holiday weeks and commitments packers already have, cattle will likely be priced well above last week's averages with heavy negotiations likely late in the week. There seems to be little incentive for either side to change ownership of cattle early in the week, leaving expected trade to develop Thursday or Friday. Futures is expected to be mixed with light-to-moderate short-covering possible through the early minutes of trade. Following contract highs last week, and the ability to move prices out of the sideways trend, underlying support still remains solid going into the holiday week. One of the main factors through the end of the year is the amount of volume stepping into the market on a daily basis. With the holiday's quickly approaching and cattle futures planted at the top end of the trading range, some traders may start checking out of the market until after the new year. Monday slaughter runs are expected at 121,000 head.