DTN Early Word Livestock Comments 03/02 06:06

DTN Early Word Livestock Comments 03/02 06:06 Traders Uncertain of Price Potential The livestock complex just could not find support Wednesday. The anticipation of higher cash cattle did not dominate trading activity as traders are again waiting to see what will develop. Hogs struggled throughout the day but managed to close off their lows. Robin Schmahl DTN Contributing Analyst Cattle: Higher Futures: Mixed Live Equiv: $213.82 -$1.13* Hogs: Lower Futures: Higher Lean Equiv: $92.78 +$1.18** *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: Pressure on feeder cattle was due to corn prices gaining strength as the day progressed. Live cattle closed lower as the market seems tired and will only trade once the strength of cash is seen. Traders do not seem interested in adding premium to the market. The market could be hanging in a balance Thursday with weekly export sales a potential factor in trading activity. Boxed beef prices were lower Wednesday with choice down $1.12 and select down $2.82. Export sales will need to be better than last week, or pressure may be put on the market. Whether these two things will have an impact on cash this week remains to be seen. Cash price cannot increase indefinitely, but strong demand and tighter supply may continue to support the market.