DTN Early Word Opening Livestock 11/12 06:10
12 Nov 2015
DTN Early Word Opening Livestock 11/12 06:10 Cattle Contracts Geared for Further Progress Live and feeder futures seem ready to open on a firm basis, supported by follow-through buying and further short-covering. Lean hog issues are set to open higher as well, thanks to residual momentum from yesterday. By John Harrington DTN Livestock Analyst Cattle: Steady-$2 LR Futures: 50-100 HR Live Equiv $143.67 - $1.37* Hogs: Steady-$1 LR Futures: 25-50 HR Lean Equiv $ 79.36 - 0.66** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Feedlot country could start to see some preliminary bids this morning as short-bought packers start to consider their practical kill needs. On the other hand, producers may still be reluctant to price ready cattle, waiting to see if bulls will be willing and able to extend Wednesday's rally. Our guess is that significant trade volume will not surface until sometime Friday. Live and feeder futures should open moderately higher, supported by follow-through buying and short-covering.