Expect the cattle complex to open on a mixed basis with feeders probably gaining more ground on their live counterparts. Hog futures should also begin with uneven price action tied to light bull spreading and late week profit taking.
Cattle: Steady w/Wed&Thur Futures: mixed Live Equiv $140.81 – $1.44*
Hogs: Steady Futures: mixed Lean Equiv $ 109.18 – $2.15**
* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue
Assuming final trade volume generated in the North was close to moderate, the cash cattle trading is probably done for the week. Limited clean-up action is possible, but we don’t look for much. Unsold inventory remaining on showlists are likely priced around $122 in the South and $192 plus in the North. Look for live and feeder futures to open mixed with the latter probably set to outperform the former.