DTN Early Word Livestock Comments 05/24 06:15

DTN Early Word Livestock Comments 05/24 06:15 Trader Positioning Ahead of COF Report Will be Evident Friday Live cattle futures spent some time in positive territory Thursday, but slipped lower into the close as positioning took place ahead of Friday's Cattle on Feed report. Hog futures are unable to find support with the steep downtrend continuing. New lows were again established as the market freefalls. Robin Schmahl DTN Contributing Analyst Cattle: Higher Futures: Mixed Live Equiv: $228.01 -$1.05* Hogs: lower Futures: Higher Lean Equiv: $104.55 -$1.38** *Based on the formula estimating live cattle equivalent of gross packer revenue. (The Live Cattle Equiv. The 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: Weekly export sales were positive, increasing 42% from the previous week. That was not enough to underpin the market throughout the day as traders turned their attention to the Cattle on Feed report and began positioning ahead of the report as Thursday progressed. The report has been known for its surprises and this one will be no exception due to the wide estimate for the placement number. Estimates for the report are for an on-feed number on May 1 of 99.1% of a year ago. Placements in April at 93.3% and marketings at 109.5%. The range of estimates for the on-feed number is 97.9% to 100.5%. Placements again have a wide range of 86.5% to $104.5% and will keep traders cautious going into the report. The range for marketing is from 108.6% to 110.7%. Boxed beef prices were mixed with choice down $2.33 and select up $0.47. The April Livestock Slaughter Report released Thursday showed beef production at 2.30 billion pounds, 11% above April 2023. Cattle slaughter totaled 2.73 million head, up 7% from a year earlier with the average live weight being 1,395 pounds, up 41 pounds from April 2023.