DTN Early Word Opening Livestock 10/21 06:52

DTN Early Word Opening Livestock 10/21 06:52 Live Cattle Traders Look for Additional Price Support Friday Morning Traders in live cattle futures have access to expanded trading limits Friday morning following the limit higher trade seen Thursday. The potential for market shifts remains ahead of the Cattle on Feed report. Hog futures are expected to remain stuck in a narrow trading range during early Friday trade. By Rick Kment DTN Analyst Cattle: Steady Futures: Higher Live Equiv $121.16 - 0.52* Hogs: Steady to $1 LR Futures: Mixed Lean Equiv $ 77.68 - 0.49** * 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 market activity is expected to go back to the drawing board Friday morning with light trade developing Thursday at $98 per cwt live basis and $154 per cwt dressed. But as live cattle futures surged higher through the morning, the ability to buy cattle at this point ended abruptly, with packers not showing any additional bids through the day. Bids are expected to develop through the morning with asking prices likely to hold previous values of $100 to $102 in the South and $160 in the North. It is quite possible that active trade may not be seen until after the release of the Cattle on Feed report. Futures trade is expected to remain mostly higher as follow-through buyer support is likely to create moderate momentum. Even though live cattle futures have expanded trading limits of $4.50 per cwt to work with, it is quite possible that markets will remain grouped in a tight trading range.