DTN Early Word Livestock Comments 12/13 06:07

DTN Early Word Livestock Comments 12/13 06:07 Cattle Supported by Cash Optimism Cattle futures were able to remain supported with a higher close across the board. Delayed cash business is increasing the potential for steady or even higher cash. Hogs seemed to have been influenced by positions being rolled out of the soon-expiring December into the February contract. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Higher Live Equiv: $211.30 +$0.97* Hogs: Higher Futures: Lower Lean Equiv: $91.11 -$2.66** *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: There is rising optimism that cash will trade steady or higher this week. Part of this is due to no cash trade taking place yet this week. The past few weeks, cash began trading early with lower prices. The fact that no bids or offers have been posted may push business to the end of the week, resulting in packers having to bid up to purchase cattle. The strength of futures may give feedlots confidence to hold out. Boxed beef still does not provide solid support in the market as prices were mixed Tuesday. Choice was up $2.25 with select down $0.88.