DTN Early Word Livestock Comments 11/27 06:14

DTN Early Word Livestock Comments 11/27 06:14 Futures May Bounce After Friday's Fall Friday was a day impacted by holiday trade with livestock futures falling because of technical selling. Cattle were under pressure but then broke below support. Hogs fell under spillover action topped off with fundamental pressure. Robin Schmahl DTN Contributing Analyst Cattle: Lower Futures: Lower Live Equiv: $216.52 +$0.90* Hogs: Lower Futures: Mixed Lean Equiv: $91.66 -$0.41** *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: Cash cattle traded in line with the direction set earlier in the week with Southern trading $1.00 to $2.00 lower than the previous week at $177 with Northern dressed cattle $1.00 lower at $180. That should not have had the impact seen in the market on Friday. Lighter holiday trade and technical selling took place pushing futures to the lowest level since May in the December live cattle contract and the lowest since March in later contracts. Feeder cattle futures moved to the lowest level since March. There is a good chance futures will rebound to some extent today, but traders may be reluctant to buy back in with any aggressiveness. A positive was that boxed beef was higher on Friday with choice up $1.03 and select up $1.14.