DTN Early Word Opening Livestock 09/27 06:37

DTN Early Word Opening Livestock 09/27 06:37 Livestock Futures Expected Lightly Tested Tuesday Light pressure is expected to trickle into the livestock complex early Tuesday following the moderate to strong losses that developed early in the week. Focus on follow-through pressure in cash hog markets will continue to limit fundamental support, although short-covering may slowly develop in early trade. By Rick Kment DTN Analyst Cattle: Steady Futures: Mixed Live Equiv $127.54 + 0.30* Hogs: Steady to $1 LR Futures: Mixed Lean Equiv $ 83.77 + 1.69** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cash cattle activity remains at a standstill going into Tuesday morning, which is no surprise given the lack of activity seen last week and the lackluster futures direction at the end of the month. It is possible that overall cash cattle trade may remain sluggish through the entire week with packers relying heavily on formula-based contracts rolling into plants after the first of the month to meet a larger portion of their chain speed. Futures trade are expected to remain defensive early Tuesday, although a mix between initial short-covering and follow-through selling is likely in nearby contracts.