DTN Early Word Opening Livestock 05/31 05:55

DTN Early Word Opening Livestock 05/31 05:55 Cattle Futures Set to Open Week Solidly Higher Live and feeder contracts should open impressively higher, supported by follow-through buying and signs of late-week cash strength. Look for lean hog issues to post initial gains thanks to spillover buying and ideas of seasonally improving fundamentals. By John Harrington DTN Livestock Analyst Cattle: Steady-$2 HR Futures: 50-100 HR Live Equiv $145.89 - .63 * Hogs: Steady Futures: 10-30 HR Lean Equiv $ 88.79 + .03 ** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Trade volume totals in cattle country last week were no better than light to moderate. That means that new showlists are somewhat larger thanks to a certain number of unsold steers and heifers carried over. But at the same time, we expect packers to return from the long holiday week relatively close to the knife. Activity in feedlot country Monday morning will be limited to the distribution of new showlists. Our guess is that asking prices will start out around $132 plus in the South and $210 to $215 in the North. Live and feeder futures seem set to open with solid progress, supported by follow-through buying, technical encouragement and cash premiums.