DTN Early Word Livestock Comments 09/29 06:22

DTN Early Word Livestock Comments 09/29 06:22 Futures May See Selling Pressure Traders decided the retracement of cattle futures was sufficient to correct an overbought market and decided to buy the market based on continued tight supplies. Cash trade did not support the strength. Hogs defied fundamental gravity, rebounding to the highest close in a week Thursday. Traders did not wait for the results of the Hogs & Pigs report. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $221.18 +$0.05* Hogs: Lower Futures: Lower Lean Equiv: $104.00 -$0.84** *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: Cattle futures rebounded nicely despite the direction of cash and boxed beef this week. Cash trade did not change Thursday with Southern cattle trading at steady money with last week and Northern dressed cattle trading as much as $2.00 lower. Traders did not seem to care and took advantage of the recent weakness to buy back into the market for the long term as cattle numbers remain tight. Boxed beef prices were mixed with choice up $0.56 and select down $1.07. Beef prices have been struggling during the week. Weekly export sales were positive at 17,700 metric tons (mt), up 29% from last week, as international buyers have not backed away.