DTN Early Word Livestock Comments 10/12 06:11

DTN Early Word Livestock Comments 10/12 06:11 Grain Report May Influence Cash Cattle Trade Cattle had a strong day yesterday as live cattle futures increased on the prospect of higher cash while feeder cattle gained in reaction to lower corn prices. Hogs floundered even though cash and cutouts were higher as the traders need to see further gains to increase buying interest. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv $181.48 +0.83* Hogs: Lower Futures: Mixed Lean Equiv: $110.92 +$1.76** * 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: October live cattle pushed to a new high for the keeping the uptrend intact. Later contracts moved from the lower of the trading range to the upper end of the range in one day eliminating the losses of Monday. Cash cattle did not trade yesterday as feedlots hold for at least $1.00 higher. The World Agricultural Supply and Demand report may have an influence on cash trade depending on the numbers on the report. If it is bullish corn, feedlots might be willing to move cattle more readily. Boxed beef prices were mixed with choice up $2.12 and select down $0.97. Mixed boxed beef trade seems to be nearly a daily occurrence which has been tightening packer margins.