DTN Early Word Livestock Comments 05/27 06:21

DTN Early Word Livestock Comments 05/27 06:21 Mixed Trading Activity Anticipated Live cattle finished a ho-hum Thursday with futures moving in a tight range throughout the day. Cash prices were set for the week and export sales provided no support. Hogs turned higher after initially trading lower, supported by strong export sales and higher cutouts. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $195.57 +$0.03* Hogs: Steady Futures: Mixed Lean Equiv: $115.75 +$1.06** *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: Live cattle were not impacted by lower corn prices as lower cash this week trumped any positive other news. Futures are not expected to see much volatility Friday as traders look to a three-day weekend. Export sales did not support the market as they were 14% below the previous week. Inflation is taking its toll on demand at a time when more cattle are available to the market. Boxed beef prices were higher with choice up $1.04 and select up $0.37. Cash business is basically finished for the week, providing nothing for traders to focus on Friday other than a longer weekend. Feeder cattle could not rally on lower corn prices, which has been the pattern recently. There seems to be an overriding bearishness to the market. The August contract takes over as the front month.