DTN Early Word Opening Livestock 11/01 06:09

DTN Early Word Opening Livestock 11/01 06:09 Hog Paper Geared for Moderate Opening Strength Lean hog futures should open moderately higher, follow-through buying, short-covering, and firming carcass value. The cattle complex seems likely to begin with mixed price action tied to a combination of residual selling and short-covering. By John Harrington DTN Livestock Analyst Cattle: Steady-$2 HR Futures: Mixed Live Equiv $125.10 + 1.33* Hogs: Steady-$1 Futures: 25-50 HR Lean Equiv $ 79.03 + 1.13** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Look for a typically quiet Tuesday in cattle country with both bids and asking prices poorly defined. Showlists are mixed, some larger in the South and some smaller in the North. Generally speaking, ready numbers appear to be about steady with last week. Given relatively large trade volume last week, the development of the cash trade will probably be delayed until Thursday or Friday. We assume that live steers and heifers will be priced around $108 or better. Live and feeder futures should open on a mixed basis thanks to follow-through selling on one hand and profit-taking/short-covering on the other.