DTN Early Word Livestock Comments 11/01 06:17

DTN Early Word Livestock Comments 11/01 06:17 Cattle Futures May Drift, Waiting for Cash Strength seemed difficult to maintain for cattle futures Tuesday, but contracts were able to close higher. Traders saw little in the way of cash expectations and bids and offers were mostly quiet. Hogs were also on a roller coaster but managed to close higher. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $222.71 -$2.23* Hogs: Lower Futures: Lower Lean Equiv: $ 93.74 -$1.38** *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 were searching for direction but managed a higher close Tuesday for the third consecutive day. The December live cattle contract closed more of the chart gap that is above the market but could not find sufficient buying interest to accomplish the task. That may be a focus of technical traders Wednesday. Lower boxed beef prices may make that a bit more difficult along with uncertainty over cash. Boxed beef prices were lower Tuesday with choice down $4.10 and select down $1.39. There was little indication of cash price potential as packers and feedlots seemed to want to wait until the new month to be more serious. Feeder cattle futures were less volatile and seemed to be more of a follower than a leader of live cattle lately. The buying exuberance at auctions is a bit more tempered.