DTN Early Word Livestock Comments 04/03 06:22

DTN Early Word Livestock Comments 04/03 06:22 Traders May Begin Week With Caution The strong increase of cattle futures Friday pushed contracts to new highs across the board. Packers stepped up to purchase cattle in a big way. Hogs were higher in deferred months while nearby April fell to a new low. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $209.42 +$1.90* Hogs: Steady Futures: Mixed Lean Equiv: $84.55 -$1.51** *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: The strong increase in cash cattle to end the week pushed all contracts to new highs. Southern live cattle traded as much as $4.00 higher; $6.00 higher in the North. Northern dressed cattle averaged $5.00 higher. Packers needed to step up to meet continued strong demand. Feedlots anticipated higher prices and held for them despite the increase in corn prices. Boxed beef closed higher with choice up $2.87 and select up $2.26. Feeder cattle kept pace with live cattle despite the bullishness of the Quarterly Grain Stocks report. There is another large winter storm in the forecast for this week moving through much of cattle country with blizzard conditions and quite a bit of snow again. This will have an impact on cattle performance and the spring calf crop. The Commitment of Traders report showed funds reducing their long futures positions by 3,192 contracts, bringing their net-long positions to 59,486.