DTN Early Word Opening Livestock 03/02 06:07
Cattle Contracts Seem Ripe to Open Moderately Higher
Live and feeder futures should open moderately higher, supported by residual
buying interest and the premium status of late week feedlot sales. Look for the
lean hog pit to also begin with a firm undertone thanks the advancing cash
index and the late week surge in wholesale pork demand.
By John Harrington
Cattle: Steady-$1 HR Futures: 10-30 HR Live Equiv $169.58 + 0.16 *
Hogs: Steady-$1 HR Futures: 10-30 HR Lean Equiv $ 75.62 + $2.38 **
Activity in cattle feeding country this morning will be typically limited to
the distribution of new showlists. Assuming that Friday's late trade managed to
generate moderate trade volume totals, the early month fed offering should not
be much larger than last week. On the other hand, it's tough to imagine that
packers could have collected enough cattle late last week to eliminate their
short bought woes for more than three or four days. Live and feeder futures
seem slated to open moderately higher, supported by follow-through buying
interest and the recent demonstration of cash market stability.
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