DTN Early Word Opening Livestock 03/17 06:32
17 Mar 2017
DTN Early Word Opening Livestock 03/17 06:32 Late-Week Cattle Paper Set to Open on Solid Basis Live and feeder futures should open significantly higher, supported by follow-through buying and the still tall reality of feedlot cash premiums. Lean hog contracts are expected to begin with mixed price action tied to both short covering and long liquidation. By John Harrington DTN Livestock Analyst Cattle: Steady/firm w/Wed Futures: 50-100 HR Live Equiv $149.80 + 0.60* Hogs: Steady-$1 LR Futures: mixed Lean Equiv $86.77 - 0.84** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: While isolated clean-up trade is certainly possible this morning, the heart of the week's cash cattle trade is essentially completed. Whatever cattle are still left on show lists are priced around $130 in the South and $212 plus in the North. This has been another successful week supported by an impressive one-two punch of tight fed supplies and strong beef demand. Look for live and feeder futures to open higher, possibly even gapping into bullish territory helped by both follow-through buying and the premium status of feedlot cash.