DTN Early Word Opening Livestock 04/28 09:57

DTN Early Word Opening Livestock 04/28 09:57
Meat Futures are Staged for Further Late-Week Gains

Look for the cattle complex to open substantially higher, supported by
follow-through buying and new cash premiums. Lean hog futures should also
benefit Friday from Thursday’s bullish momentum.

By John Harrington
DTN Livestock Analyst

Cattle: Firm w/Thurs advance Futures: 50-100 HR Live Equiv $146.88.+.22*
Hogs: Steady-$1 HR Futures: 50-100 HR Lean Equiv $ 79.00 +.18**

* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue

GENERAL COMMENTS:

Cattle buyers aggressively chased ready steers and heifers on Thursday like
they were on the endangered species list. Live spending reached as high as $138
to $140 with dressed deals as tall as $217 to $219. Trade volume was quite
active in most areas, and we suspect that most business is done for the week.
Whatever remains on showlists are probably picked around $140 in the South and
$220 plus in the North. Live and feeder futures seem staged to open solidly
higher, supported by residual buying interest and new feedlot premiums.