DTN Early Word Livestock Comments 05/10 05:38

DTN Early Word Livestock Comments 05/10 05:38 Futures Gains May Stall Without Cash Support Livestock futures pushed higher yesterday with feeder cattle showing the greatest gain likely as a reaction to much lower corn prices. Hogs found their legs after a period of mixed trading early in the day. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $225.20 -$0.63* Hogs: Higher Futures: Higher Lean Equiv: $89.08 +0.15** *Based on formula estimating live cattle equivalent of gross packer revenue. (The Live Cattle Equivalent 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 began the day with caution as traders tried to find something to provide some direction. Direction was received by the fall of corn futures resulting in aggressive buying of feeder cattle. This spillover into live cattle pushed futures to triple-digit gains. There is no indication as to what cash will do this week as no bids or offers have been floated yet. Boxed beef showed further weakness with choice down $1.18 and select down $0.23. This may make it difficult for cash to trade higher this week and the best feedlots might hope for is steady cash. Feeder cattle remain in demand at auctions with higher prices being paid to purchase them. The outlook for lower feed prices has improved demand.