DTN Early Word Livestock Comments 09/28 06:23
Quarterly Hogs and Pigs Report to Be Released
The cattle complex has yet to find solid footing this week. Some initial
light cash trade took place pointing to steady and lower prices. Hog futures
were able to post a moderate gain with buying interest mainly technical in
nature ahead of the Hogs & Pigs report.
DTN Contributing Analyst
Cattle: Steady Futures: Mixed Live Equiv: $221.13 +$0.45*
Hogs: Higher Futures: Mixed Lean Equiv: $104.84 -$0.52**
*Based on formula estimating live cattle equivalent of gross packer revenue.
(The Live Cattle Equiv. 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.
The cattle complex has seen lower prices since the Cattle on Feed report
with futures unable to find solid footing. The general fundamental picture has
been somewhat negative as boxed beef prices have been struggling this week and
the looming government shutdown seems to have raised more concern over the
impact it will have on the reporting of necessary information. Uncertainty
generally is bearish to a market. There was some light cash trade Wednesday at
steady to $2.00 lower. With futures falling as much as they have, it could be
difficult to see higher cash this week. Boxed beef was mixed Wednesday with
choice up $1.41 and select down $0.59. Thursday is the last trading day for
September feeder cattle with October then taking over as the front month.
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