DTN Early Word Livestock Comments 08/31 06:17

DTN Early Word Livestock Comments 08/31 06:17 Cash Cattle Trade Expected The livestock complex found support from both the fundamental and technical sides of the market. Cattle were supported by weaker corn prices and continued strong slaughter pace. Hogs moved higher on continued short-covering as the market rebounds from being oversold. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Higher Live Equiv: $192.97 -$2.02* Hogs: Higher Futures: Higher Lean Equiv: $110.17 -$0.41** *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: There is optimism for steady to higher cash this week with business expected to surface Wednesday. It is uncertain just how aggressive packers will be as we head into the holiday weekend. Slaughter pace has been strong, which has kept cattle moving and feedlots current. The question of whether demand will remain strong after Labor Day is one that is being mulled over. The statement last Friday from the Fed chairman indicates they will be taking strong steps to curb inflation, which may cause more pain for consumers. Boxed beef took a hit Tuesday with choice down $3.25 and select down $3.07. Expected demand for the holiday may be filled with retail outlets waiting for actual demand through the weekend. Wednesday is the final day to trade the August live cattle contract.