DTN Early Word Opening Livestock 05/13 06:07

DTN Early Word Opening Livestock 05/13 06:07 Cattle Futures Seem Staged to Open Moderately Higher Live and feeder futures should open moderately higher, supported by late-week short-covering and the tall premium status of Thursday's country market. Lean hog contracts are likely to open on a firm basis, girded by this week's pattern of greater packer spending. By John Harrington DTN Livestock Analyst Cattle: Steady w/Thurs. Futures: 25-50 HR Live Equiv $143.92 +.83* Hogs: Steady-$1 HR Futures: 10-30 HR Lean Equiv $ 88.12 +.06** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cattle buyers launched another aggressive spending spree Thursday, chasing ready numbers in order to fund large beef orders in the weeks just before Memorial Day. Live sales in the South ranged from $132 to $134, $5 to $7 higher than last week. Dressed deals in Nebraska and Iowa ranged from $207 to $210 (mostly $210), as much as $10 above last week's weighted average basis in Nebraska. Trade volume was moderate to fairly active in most areas, and that probably means cash business is done for the week, except for some clean-up action with prices near the top of Thursday's range. Live and feeder futures sold off late Thursday but still seem likely to open Friday moderately higher thanks to short-covering and extraordinary cash premiums.