DTN Early Word Livestock Comments 11/09 06:23

DTN Early Word Livestock Comments 11/09 06:23 Traders Look to Cash for Direction There was not much excitement in live cattle futures Tuesday as traders were waiting for better market direction than just anticipation. Feeder cattle failed to generate buying interest from lower corn. Hogs took back some of the gains of Monday as the market corrected after short-covering ran it course. Robin Schmahl DTN Contributing Analyst Cattle: Higher Futures: Mixed Live Equiv: $195.61 +$0.22* Hogs: Higher Futures: Mixed Lean Equiv: $103.05 -$1.81** *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 traders decided it was best to wait until a better indication of cash trade before they pushed futures higher. The anticipation is for steady to higher cash this week, but some caution is being exercised. Boxed beef closed higher with choice up $0.39 and select up $0.13. Stronger cutout values, along with a higher slaughter pace, should keep the market supported for the time being. USDA will release the World Agricultural Supply and Demand report Wednesday, providing estimates on beef production and prices, but the report is not a market mover. Feeder cattle were rather lethargic, even though corn futures were weaker. There is good demand for feeders at auctions as feedlots look ahead to the potential for stronger fed cattle prices.