DTN Early Word Opening Livestock 05/08 07:21

DTN Early Word Opening Livestock 05/08 07:21 Look for Cattle Futures to Open Week with Mixed Prices The cattle complex should open the week with mixed price action, pressured on one hand by residual selling and supported on the other by cash premiums and short covering. Lean hog futures also seem set to trade unevenly in the early going with nearby gaining on deferred. By John Harrington DTN Livestock Analyst Cattle: Steady-$2 HR Futures: mixed Live Equiv $157.21 + $1.47* Hogs: Steady-$1 HR Futures: mixed Lean Equiv $ 83.01 + $1.17** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Talk about a tough act to follow. While feedlot managers will naturally start out in a bullish frame of mind (e.g., ready to price showlists at least several dollars higher) , few seem wild enough to expect a price surge equal to the bullish tsunami seen last week. At any rate, nothing will be decided today as packer focus exclusively on the collection of new showlists. We expect the fed offering to be steady to somewhat larger. Live and feeder futures should open on mixed basis thanks to follow-through selling and short covering.