DTN Early Word Opening Livestock 05/09 06:27

DTN Early Word Opening Livestock 05/09 06:27 Firm Pressure Expected Thursday The weak market tone is expected to continue through the entire complex with traders looking for end of the week direction. Traders will closely monitor the Export Sales report Thursday morning, looking for additional sales of pork to China. By Rick Kment DTN Analyst Cattle: $2 to $5 Lower Futures: Higher Live Equiv: $145.03 -1.55* Hogs: Steady Futures: Lower Lean Equiv: $ 89.91 -0.73** * based on formula estimating live cattle equivalent of gross packer revenue ** based on formula estimating lean hog equivalent of gross packer revenue GENERAL COMMENTS: Cash cattle activity is expected to remain sluggish Thursday with most of the business for the week already in the books. With trade developing Tuesday and Wednesday in all areas at prices $2 to $8 per cwt lower than last week, the weaker market tone is likely to have limited the desire for feedlot managers to be aggressive the rest of the week. There could be some additional live trade developing in the North in the next couple of days, but essentially the market tone has been set, allowing for limited price movement in the near future. Futures trade is expected mixed to mostly lower with early short-covering mixed with follow-through market pressure. The continued weakness in feeder cattle trade has led the overall market lower, sparking uncertainty surrounding the overall direction of the market in the upcoming days and weeks.