DTN Early Word Opening Livestock 05/18 06:02

DTN Early Word Opening Livestock 05/18 06:02 Cattle Futures Set to Open Moderately Higher Live and feeder contracts should open moderately higher, firmed by follow-through buying and further gains in carcass value. Lean hog issues are likely to open on a mixed basis thanks to a combo of residual buying and long liquidation. By John Harrington DTN Livestock Analyst Cattle: Steady-$2 HR Futures: 25-50 HR Live Equiv $149.75 +1.97* Hogs: Steady-$1 HR Futures: Mixed Lean Equiv $ 88.39 - .23** * 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 might start to float a few preliminary bids Wednesday, possibly around $130 in the South and $207 to $208 in the North. Our guess is that feedlot managers will start out pricing showlists around $136 to $137 in the South and $215 to $220 in the North. Whatever, significant trade volume could easily be delayed until sometime Friday, possibly not until after the release of the May 1 Cattle on Feed report. Live and feeder futures are set to open moderately higher, girded by spillover buying and large cash premiums.