DTN Early Word Opening Livestock 12/19 06:34

DTN Early Word Opening Livestock 12/19 06:34 Slight Weakness Expected to Continue Live cattle may be indicating the top is in. The large decline of boxed beef of about $4.00 during the first half of the week will keep pressure on futures. Lean hogs are having a difficult time getting some strong buyer interest. There is some disappointment over the first phase of the trade agreement with China. By Robin Schmahl DTN Dairy Analyst Cattle: Steady Futures: Mixed Live Equiv: $139.13 -1.07* Hogs: Steady Futures: Mixed Lean Equiv: $ 82.21 -1.52** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Live cattle may be indicating the top is in. The large decline of boxed beef of about $4.00 during the first half of the week will keep pressure on futures. It has been a nice run higher, but we know that cannot last forever. The December contract holds some premium to cash, but trading will continue until Dec. 31 when the contract expires. Later contracts look as if price may be tipping over as traders prepare for the Cattle on Feed report Friday. There were a few bids surfacing Thursday in the North at $190, but miles apart from the $195 asking prices. Packers will need to procure some cattle, but the disruption of regular movement due to the holidays may keep them on the defensive as they do not need as much product. Trade may be confined to a narrow range.