DTN Early Word Livestock Comments 09/13 06:24

DTN Early Word Livestock Comments 09/13 06:24 Hope Increased For Steady Cash Cattle Trade Friday Cattle futures opened higher and uncovered increasing buying interest throughout Thursday. Traders turned more hopeful of steady cash trade developing through the end of the week. Hog futures struggled most of the day with contracts closing on the Thursday's lows. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $225.63 +$0.17* Hogs: Lower Futures: Mixed Lean Equiv: $100.29 +$1.27** *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: Cattle futures have had two days of strength as traders became more optimistic over the potential for cash cattle to trade steady for the week. On Wednesday, some cattle traded $1.00 lower in the South with Thursday showing some trade developing at steady money with last week. That prompted traders to become more optimistic. The weekly export sales report provided little support to the market with sales 31% below the previous week. The WASDE report was not very supportive as the USDA lowered its estimates for steer prices for the next four quarters. Feedlots may gain some confidence to hold for no less than steady cash due to the strength of the futures market over the past two days. Boxed beef prices were mixed with choice down $0.18 and select up $1.26.