DTN Early Word Livestock Comments 12/19 06:09

DTN Early Word Livestock Comments 12/19 06:09 Cattle Traders Await Cash Trade The cattle complex posted losses across the board as cash has not traded giving the impression the packers may not be short-bought. Hog futures showed gains supported by packer aggressiveness and higher pork values. Robin Schmahl DTN Contributing Analyst Cattle: Steady Futures: Mixed Live Equiv: $227.32 -$1.09* Hogs: Lower Futures: Lower Lean Equiv: $102.21 +$1.58** *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: The expectation was for cash to trade on Wednesday but that failed to surface. This gives the impression that the packers may not be short-bought as anticipated. Cash trade should surface today unless the packers can afford to hold out due to the upcoming holidays and the reduction of slaughter. It would then be up to feedlots if they want to or can afford to hold out. Live cattle futures have eliminated the technical breakout last week and are back below resistance. The Cattle on Feed report may limit the aggressiveness of traders unless cash cattle trade higher before the report. The average estimates for the Cattle on Feed report are for on feed as of December 1st at 99.9% of a year ago. Placements in November at 95.9% and marketed in November at 98.2%. Boxed beef prices were lower with choice down $0.79 and select down $2.95. Feeder cattle showed lackluster trade following the lead of live cattle. Futures remain in a range.