DTN Early Word Livestock Comments 07/18 06:18

DTN Early Word Livestock Comments 07/18 06:18 Standoff May Continue in Cattle Live cattle floated along Monday uncertain of what cash will do this week. Feedlots dug in last week, but will they remain unified another week? Hogs could not push higher with uncertainty over cash. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $223.21 +$0.23* Hogs: Higher Futures: Higher Lean Equiv: $119.90 -$2.84** *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: Live cattle futures found no solid direction throughout the day. Traders are on both sides of the idea of the direction of cash this week. Feedlots held out last week, but will they remain unified this week if packers establish solid bids without wavering? Business is likely to take place with more volume earlier this week as feedlots will need to move cattle and packers will need to purchase them. However, the fact that 32% of the cattle purchased last week were for deferred delivery will make it an interesting week. The Cattle on Feed report will be released after the close Friday and will have no bearing on cash trade this week. Boxed beef prices were mixed with choice up $0.84 and select down $0.87. Feeder cattle moved in direct correlation to the weakness of corn Monday, posting triple-digit gains.