The cattle complex should open with mixed prices thanks to a combo of follow-through buying and pre report/weekend profit taking. Lean hog issues are also likely to begin with uneven action in light holiday-related trade volume.
Cattle: Steady with Wed Thur Futures: mixed Live Equiv $159.67 – 0.16*
Hogs: Steady Futures: mixed Lean Equiv $95.64 + 0.44**
* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue
Although trade volume totals are not that large, it’s possible that the cash cattle market is done for the week. If more scattered are yet to shake out, it seems more likely to happen in parts of the North and at prices steady with those seen on Thursday (i.e., $208-210 dressed/$132-132.50 live).
The May 1 on feed report is scheduled to be released this afternoon at 2:00 CDT. Average guesses look like this: on feed, 101 percent; placed in Aoril, 106.5 percent; marketed in April, 101 percent. Look for live and feeder futures to open on a mixed basis as traders position ahead of on feed news and the long weekend.