DTN Early Word Livestock Comments 08/12 06:19

DTN Early Word Livestock Comments 08/12 06:19 Livestock Futures May Drift Into Weekend Live cattle found buying interest as cash moved higher than the early trend indicated. Feeder cattle slipped under the pressure of higher corn futures. Hogs spent some time in negative territory but finally found strength to close higher, even though cash fell apart. Robin Schmahl DTN Contributing Analyst Cattle: Higher Futures: Mixed Live Equiv: $194.01 +$0.02* Hogs: Lower Futures: Lower Lean Equiv: $131.39 -$0.36** *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: It certainly was a positive day for cattle feeders as cash increased more than expected and packers became more aggressive. Cash generally ranged from $2.00 to $4.00 higher with some cattle in Texas seeing a $5.00 gain. This was what traders needed to push August futures to triple-digit gains. Trade in later contracts was a bit more hesitant with premium already factored in. The strong slaughter pace has packers needing more cattle, even though they had been forward contracting some over the past few weeks in the attempt to minimize the need to bid up very much. That came to an end this week as strong demand continues. Boxed beef prices were mixed with choice down $0.13 and select up $0.38. Weekly export sales were better than last week at 14,600 metric tons (mt) but below the four-week average.