DTN Early Word Opening Livestock 12/15 05:48

DTN Early Word Opening Livestock 12/15 05:48
Cattle Futures Staged for Mixed Opening

Live and feeder contracts should open on a mixed basis as players position
ahead of cash news. Lean hog issues are likely to begin with uneven prices
action tied to a combination of follow-through buying and late week
profit-taking.

By John Harrington
DTN Livestock Analyst

Cattle: Cash Steady Futures Mixed Live Equiv $132.87 – .99*
Hogs: Cash Steady Futures Mixed Lean Equiv $82.58 + .80**
* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue

GENERAL COMMENTS:

The cash cattle market has entered the eleventh hour with no business yet
on the books. Look for moderate trade volume to develop before buyers break for
the weekend, but possibly not until late this afternoon. Opening bids should
start out around $115 to $116 live and $186 dressed. Asking prices should be
restated around $119 to $120 in the South and $190-plus in the North. Live and
feeder futures seem set to open on a mixed basis as specs and commercials
jockey ahead of the development of cash news.