DTN Early Word Opening Livestock 09/30 06:12

DTN Early Word Opening Livestock 09/30 06:12 Traders Focus on Increased Hog Inventory Friday's increased hog inventory on Sept. 1 is expected to create some nearby pressure through the entire complex. The stable farrowing intentions through the first half of 2020 is expected to limit long-term pressure in the complex. By Rick Kment DTN Livestock Analyst Cattle: Steady Futures: Mixed Live Equiv: $137.14 -0.49* Hogs: Higher Futures: Lower Lean Equiv: $ 78.00 +1.22** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cash cattle trade for the week remained higher in all areas with prices moving $2 to $5 per cwt higher, depending on the areas impacted. Southern trade remained at $103 per cwt, $2 per cwt higher than last week, while northern trade was seen mostly $165 dressed, $3 higher, and $106 to $107 live, $4 to $5 per cwt higher. This is expected to spark optimism in the upcoming week, although Monday's activity is expected to be limited to showlist distribution and inventory taking. Active trade is likely to be pushed off until later in the week, which is also placing any expected trade into the month of October. Futures trade is expected mixed in light-to-moderate trade as traders continue to build on the moderate-to-strong rally that developed last week. Nearby futures prices are now trading at the highest level since early August, as December contracts are testing $111.45 resistance set on Aug. 9. A move above these levels before the end of the month should help spark additional bullish technical support moving into the month of October.