DTN Early Word Opening Livestock 04/07 05:58

DTN Early Word Opening Livestock 04/07 05:58 Look for Meat Futures to Open Moderately Higher The cattle complex should open higher, supported by follow-through buying and pre-cash short-covering. Lean hog issues are also likely to open with a firm undertone thanks to residual buying interest and late-week profit-taking. By John Harrington DTN Livestock Analyst Cattle: Steady-$2 LR Futures: 25-50 HR Live Equiv $141.00 - .71* Hogs: Steady-$1 LR Futures: 50-100 HR Lean Equiv $ 79.49 - .76** * 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 week-long showdown that has endured all week in cattle country will have to find some form of resolution Friday (i.e., at least light-to-moderate trade volume in major feeding areas). Packers are both short bought and mindful of narrowing margins. Feedlot managers are both confident of tight front-end supplies and nervous in the face of deep board discounts. Asking prices are around $128 plus in the South and $205 plus in the North. Bids are likely to start out around $122 in the South and $200 in the North. Live and feeder futures should open moderately higher, supported by follow-through buying and ongoing ideas of cash premiums.