DTN Early Word Opening Livestock 05/01 06:15

DTN Early Word Opening Livestock 05/01 06:15 Follow-Through Buying Expected Cash trade did not pick up as much as was hoped with another round of light business. Northern trade remained mostly at $150 with the South tightening up a bit to $95 to $96. Buyers stepped back into lean hog futures Thursday after chart gaps were closed Wednesday. Traders seem confident higher price will unfold in cash hogs more quickly than cattle. By Robin Schmahl DTN Dairy Analyst Cattle: Steady Futures: Mixed Live Equiv: $233.89 +6.43* Hogs: Steady Futures: Higher Lean Equiv: $105.71 +9.99** * 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 trade did not pick up as much as was hoped with another round of light business. Northern trade remained mostly at $150 with the South tightening up a bit to $95 to $96. Packers see no need to bid up to obtain supply. There seems to be no end to record-breaking boxed beef prices with a jump to $367.56 Thursday. The issue that may arise is that the meteoric rise of boxed beef may curtail consumer demand. This would reduce demand that needs to remain strong in order to reduce the backlog of cattle that need to come to the market. Live cattle futures are making a run at the top of the trading range, which could potentially trigger more trader buying interest if the top of the range is breached.