DTN Early Word Livestock Comments 12/10 06:20

DTN Early Word Livestock Comments 12/10 06:20 Follow-through Strength Expected in Hogs Cash cattle did not perform as had been hoped. Steady-to-lower prices took support out from under the market. Feedlots needed to move cattle and packers took advantage of it. Hog futures rebounded following cash higher. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Lower Live Equiv: $198.00 Unchanged* Hogs: Steady Futures: Mixed Lean Equiv: $ 93.72 -3.48** *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: Traders had been somewhat cautious this week due to packers having been able to increase purchases for deferred delivery. Expectations for cash had been waning as the week progressed with Thursday finally indicating what traders had feared. Cash traded steady to $2.00 lower. More cattle were sold with delivery up to two weeks out. Some feedlots continue to ask higher prices, but those offers are likely not going to be filled. The stage has been set for any business that will be accomplished Friday. Weekly exports sales at only 4,200 metric tons (MT) did not provide support. Not only were they poor, but it was a marketing-year low, down 80% from the previous week. Boxed beef continued to show weakness in select cuts with a decline of $1.44. However, choice was able to close $0.44 higher.