DTN Early Word Livestock Comments 08/17 06:15

DTN Early Word Livestock Comments 08/17 06:15 Traders Wait for Cash Direction One had to look out quite a distance to find any positive price in the livestock complex. It was not found until the August 2024 contract in live cattle. Hogs could not find enough buying interest to stabilize the recent decline. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $226.57 +$1.33* Hogs: Steady Futures: Mixed Lean Equiv: $114.42 -$1.36** *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: Traders held the concern that feedlots may need to sell some cattle that they had held for a few weeks. Some cattle traded in the South at $1.00 lower than last week. However, the light sales do not provide a full indication that cash will be lower overall. The combination of higher boxed beef, the need for packers to purchase more cattle this week, and the upcoming Cattle of Feed report keeps traders uneasy about picking a price direction. Boxed beef has experienced some strength recently with choice up $1.73 and select up $1.74 yesterday. The Cattle on Feed report is expected to continue to show tighter numbers with the on-feed estimate as of August 1 at 98.4% of a year ago. Placements in July are expected at 94.5% with marketings in July at 94.8% of a year ago. Barring any surprises as was seen in the July report, this would be supportive to the market.