DTN Early Word Opening Livestock 07/18 05:53

DTN Early Word Opening Livestock 07/18 05:53 Livestock Futures Set for Moderate Opening Strength Look for the cattle complex to open higher, supported by follow-through buying and short covering. At the same time, lean hog issues should begin with a firm undertone tied to cash premiums and light profit taking. By John Harrington DTN Livestock Analyst Cattle: Steady Futures: 25-50 HR Live Equiv $140.15 - 0.01* Hogs: Steady Futures: 25-50 HR Lean Equiv $109.68 - 0.29** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cattle market watchers should expect a typically quiet Tuesday with bids and asking pricing remaining poorly defined. We assume that feedlot managers will price steers and heifers several dollars higher than last week $e.g., $122 plus in the South, $192 plus in the North. And yet much will depend upon the ability of cut-outs and futures to stabilize. Cash business will no doubt be delayed until at least Wednesday or Thursday. Live and feeders futures are staged to open some higher, boosted by short covering and the premium status of recent feedlot sales.