The cash cattle trade this morning remains very quiet with neither bids nor asking prices well defined. Look for preliminary bids to start surfacing around midweek. Hog buyers are making the rounds with bids ranging from steady to $1 lower. Most of the early "try" is $1 lower. Corn futures are 1-2 cents lower as traders cautiously position ahead of new s&d tables due out Thursday. Equities have opened higher with the. Dow up 42 points and the Nasdaq better by 4.
Live futures are moderately lower, pressured by long liquidation and cash uncertainty. Technically speaking, losses do not seem significant at this polint. Open interest on Monday increased by 2,308 (378,437). Spot December liquidated by 2,368 (121,806) and February expanded by 2,512 (110,328). DTN projected slaughter for today is 118,000 head.
Feeder contracts are on the defensive through the opening hour, but price range seem relatively modest. This market will continue to key on the strength or weakness of deferred live issues. Open interest on Monday increased by 535 (65,345). CME cash feeder index for 11/03: 159.46, up .23.
Lean issues are moderately lower so far this morning in slow trade. While the cash index continues to hold a premium over the nearby board, it appears to be steadily eroding. Open interest on Monday decreased by 259 (272,996). Spot December liquidated 4,833 (93,923) and February increased by 3,593 (72,4401). Cash lean index 11/03: 68.95, off .33. DTN projected slaughter for today is 465,000 head. Saturday's kill should total close to 170.000.
John A. Harrington can be reached at email@example.com
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