DTN Early Word Livestock Comments 09/24 06:20

DTN Early Word Livestock Comments 09/24 06:20 Further Gains May Be Limited Tuesday The livestock complex closed in positive territory across the board Monday. Cattle were higher as technical buying continued with futures regaining 62% of the losses this summer. Hog posted a higher low and higher high on Monday to keep the uptrend intact. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $221.27 +$0.63* Hogs: Lower Futures: Mixed Lean Equiv: $100.219 -$0.01** *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 continue to increase as the mood of the traders has changed. The weakness that took place as feedlots moved cattle at lower prices during the summer seems to have ended. That does not mean futures will regain all they have lost, but the trader optimism has pushed the market substantially higher from the lows, regaining 62% of the losses seen this summer. The early anticipation is for steady cash this week with trade likely delayed as feedlots will hold due to the packers having limited cattle purchased for deffered delivery. However, the slaughter pace has slowed considerably to improve boxed beef prices, but that has had limited effect. Boxed beef prices were mixed Monday with choice up $1.62 and select down $0.80. Feeder cattle futures kept pace with live cattle being neither a leader nor a follower.