DTN Early Word Livestock Comments 05/11 06:14

DTN Early Word Livestock Comments 05/11 06:14 Cattle May See Cash Headwind Cattle tried to push higher yesterday but failed. The potential for higher cash this week began to dim as a few cattle traded yesterday. Hogs traded higher for a time, but the caution of traders overcame the optimism. Robin Schmahl DTN Contributing Analyst Cattle: Lower Futures: Mixed Live Equiv: $224.90 -$0.30* Hogs: Lower Futures: Higher Lean Equiv: $88.73 -$0.35** *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 tried to continue the gains from Tuesday but could not hold through the day. It seems some of the optimism of earlier in the week dissipated. There was hope feedlots would be able to see at least steady cash this week, but a few head traded $2.00 lower in the South with some dressed cattle mixed. This was not enough to set a trend, but many times initial trade does set the stage for the week. It does not help that boxed beef has been weakening with choice down $0.51 and select down $0.35 yesterday. More trade is expected to develop today. Weekly export sales will be viewed with interest but may have no impact on futures direction.