DTN Closing Livestock Comment 10/04 16:50

DTN Closing Livestock Comment 10/04 16:50 Impressive Market Moves Focus on Corrective Shift Triple-digit price swings quickly developed in all nearby livestock trade as traders broke away from September cattle market losses, sparking a potential long-term change in direction. December live cattle futures led the industry higher with $2.85-per-cwt gains, helping to put a sizable gap between current prices and potential long-term support price levels. Hog futures backed away from last week's gains, but underlying market support is still firm at this point. By Rick Kment, DTN Contributing Analyst GENERAL COMMENTS: Livestock futures reversed moves seen last week with aggressive triple-digit rallies developing in both live cattle and feeder cattle trade, while significant price pressure flooded into lean hog trade. The significant market volatility seen over the last two weeks in all livestock markets has made a market correction inevitable, and traders seemingly took the opportunity of a new month and increased trade volume Monday to adjust these price levels. There will be a lot of attention paid to opening and early session price direction Tuesday morning, which in many ways, could help set the tone for market direction in the coming days. Hog prices moved lower on the National Direct Afternoon Hog Report in moderate trade, falling $0.91 with a weighted average of $72.01 on 6,383 head. December corn is down 3/4 cent per bushel, and December soybean meal is down $3.30 per ton. The Dow Jones Industrial Average is down 380 points, and the NASDAQ is down 350 points.