DTN Early Word Livestock Comments 11/29 06:30

DTN Early Word Livestock Comments 11/29 06:30 Lighter Trading Activity Could Increase Volatility Friday Packers became aggressive Wednesday and did not want to wait until Friday to accomplish business. It was a Happy Thanksgiving for feedlots as cash cattle traded higher. Hogs did not have a positive day with cash trading lower and cutouts falling. Robin Schmahl DTN Contributing Analyst Cattle: Higher Futures: Higher Live Equiv: $223.00 -$0.41* Hogs: Lower Futures: Lower Lean Equiv: $94.86 -$2.21** *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: Traders had hoped cash cattle would see strength this week, but cash trading $3.00 to $5.00 higher was beyond expectations. Packers needed to purchase cattle to compensate for the holiday-shortened week and prepare for next week and could not afford to hold out any longer without paying what feedlots were asking. It will be interesting to see if selling prices will hold at these levels or if cash trade could increase further. With lighter trading activity Friday and a shorter trading day, futures movement could be magnified with a higher opening expected. Boxed beef prices slipped after being strong over the past week. Choice declined by $0.30 and select down $1.19. Futures should remain supported and likely open higher when trading begins.