DTN Early Word Livestock Comments 08/12 06:27

DTN Early Word Livestock Comments 08/12 06:27 Hog Futures Should See Further Support Lean hog futures were the bright spot in the livestock complex as the liquidation phase may have run its course. Cattle remain rangebound with underlying fundamentals somewhat neutral. The World Agricultural Supply and Demand report Thursday might have some influence on direction. Robin Schmahl DTN Contributing Analyst Cattle: Higher Futures: Higher Live Equiv: $229.37 +3.42* Hogs: Steady Futures: Mixed Lean Equiv: $131.31 +1.56** * based on formula estimating live cattle equivalent of gross packer revenue. (The Live Cattle Equiv. Index has been updated to depict recent changes in live cattle weights and grading percentages.) ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cattle could not extend the gains of Wednesday as traders saw the possibility of only steady to slightly higher cash this week. The anticipation of early trade this week on the idea packers needed to increase ownership of supply to meet strong demand and take advantage of skyrocketing boxed beef, has not materialized. This has pushed cash trade to the usual second half of the week. There were a few trades in the South at $121, which is steady with last week. Asking prices are generally at $123. Feedlots do not want to lower those offers due to the large daily increases in boxed beef prices over the past few weeks.