DTN Early Word Livestock Comments 09/30 06:34

DTN Early Word Livestock Comments 09/30 06:34 Cattle, Hogs Steady Most livestock futures settled lower at the end of Wednesday with most of the pressure seen in feeder cattle. Live cattle tried to hold near steady with Tuesday's close, but traders were unable to find the confidence to aggressively buy into the market. Hogs followed a similar pattern. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $219.83 -2.63* Hogs: Steady Futures: Mixed Lean Equiv: $122.31 +6.99** * based on formula estimating live cattle equivalent of gross packer revenue. (The Live Cattle Equiv. Index has been updated to depict recent changes in live cattle weights and grading percentages.) ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cattle made a valiant attempt to hold Wednesday, but there just was not enough fundamental reason to generate strong buying interest. Continued weakness in boxed beef is keeping pressure on the market. After mixed prices earlier in the day, choice cuts fell $4.23 with select cuts down $2.57 by the end of the day. Cash cattle traded Wednesday at steady prices in both the North and South compared to last week. This sets the stage for business the rest of the week. Packers are likely not to bid higher due to market weakness, but the fact that they are paying steady with last week seems to be somewhat of a victory. Slower demand and lighter cash activity may result in cattle weights increasing over time. Feeder cattle futures closed at the lowest level since June 10 and are positioned for further losses as futures closed below support. September feeder cattle futures cease trading Thursday. Weekly export sales will be released Thursday morning.