DTN Early Word Opening Livestock 01/03 05:53

DTN Early Word Opening Livestock 01/03 05:53 Cattle Paper Set for Further Strength Wednesday Look for live and feeder cattle futures to open moderately higher, supported by follow-through buying, recent cash strength and improving carcass value. Lean hog issues should begin with mixed prices thanks to a combination of long liquidation and short-covering. By John Harrington DTN Livestock Analyst Cattle: Steady-$2 HR Futures: 50-100 HR Live Equiv $137.79 +1.75 * Hogs: Steady-$1 HR Futures: Mixed Lean Equiv $ 83.55 + .11** * 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 bids and asking prices are likely to remain poorly defined this week, linked in part to the uncertain potential of futures and wholesale prices. FCE internet results will be posted on the DTN cash cattle page later Wednesday, but that auction has been very small in recent weeks. We assume that bullish-minded feedlot managers will be pricing showlists at least $2 to $3 higher. (e.g., $125 to $126). Live and feeder futures are staged to open moderately higher, boosted by follow-through buying and firm cash expectations.