DTN Early Word Opening Livestock 08/23 06:05
23 Aug 2016
DTN Early Word Opening Livestock 08/23 06:05 Meat Futures Set to Open Moderately Higher Expect live and feeder cattle futures to open moderately higher, supported by follow-through buying and cash premiums. Along similar lines, lean hog issues should open on a firm basis linked to short-covering and stronger carcass value. By John Harrington DTN Livestock Analyst Cattle: Steady Futures: 25-50 HR Live Equiv $136.08 + .47* Hogs: Steady Futures: 25-50 HR Lean Equiv $ 81.25 +1.24** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: The cash cattle trade will most likely be a nonevent Tuesday with neither side suggesting much in terms of value expectations. Indeed, asking prices and bids could stay largely hidden until Thursday or later. We assume that nominal asking prices will eventually surface around $120 in the South and $190 in the North. Live and feeder futures should open moderately higher, supported by follow-through buying and cash premiums.