DTN Closing Livestock Comment 09/06 15:39

DTN Closing Livestock Comment 09/06 15:39 Limit Losses in Spot-Month Live Cattle, Nearby Lean Hog Futures Friday Spot-month live cattle and nearby lean hog futures saw limit losses Friday afternoon. Technical selling became extremely active Friday as cattle futures quickly moved through long-term lows. By Rick Kment DTN Livestock Analyst GENERAL COMMENTS: Sharp losses flooded the livestock market Friday afternoon, leaving the market extremely bearish. Technical pressure in live cattle futures moved prices to multi-year lows with limited technical or fundamental support expected over the near future. Hog futures quickly eroded earlier market support, creating concerns of additional pressure next week. From Friday to Friday, livestock futures scored the following changes: Oct live cattle, off $10.13; Dec live cattle, off $3.93; Sep feeder cattle, up $0.95; Oct feeder cattle, up $0.10; Oct lean hogs, off $0.02; Dec lean hogs, off $0.90. Cash cattle trade is undeveloped at this point Friday afternoon, although a few bids are seen in the South at $100 per cwt. Following the aggressive losses in futures, it appears both sides are unwilling to actively enter the market given the uncertainty and general bearish tone of the market. The expectation for both packers and feeders is that moves early next week have a potential to move in their favor, and they are willing to take their chances instead of stepping into the market volatility seen Friday. Cash cattle traded in the North at $164 to $167 midweek, generally $4 per cwt lower from last week. Southern trade developed Thursday at $100 per cwt, $2 to $3 per cwt lower than last week. The National Daily Direct afternoon hog report was unreported at this time. Corn futures posted moderate losses with December down 3 1/4 cents. Stock markets were higher in moderate trade with the Dow up 98 points higher and the NASDAQ up 2 points.