DTN Early Word Livestock Comments      10/01 06:21
   Feeder Cattle Futures Show Technical Support

   Live cattle futures were supported, keeping futures sideways. Feeder cattle
futures maintained an upward trend. Hog futures showed minor losses as support
is trying to be maintained.

Robin Schmahl
DTN Contributing Analyst

   Cattle: Higher          Futures: Higher      Live Equiv: $280.52 -$0.76*

   Hogs: Lower             Futures: Mixed       Lean Equiv: $91.95 -$2.82**

   *Based on the formula estimating live cattle equivalent of gross packer
revenue. (The Live Cattle Equiv. The index has been updated to depict recent
changes in live cattle weights and grading percentages.)

   ** based on formula estimating lean hog equivalent of gross packer revenue.

GENERAL COMMENTS:

   Traders found some support as a few dressed cattle sales took place at
steady money with last week. That has been the early consensus, but it has not
been enough to establish a trend for the week. There is anticipation that
higher prices will develop. The slaughter pace has returned back to normal this
week after the disruption last week. Boxed beef prices did not follow through
with gains on Wednesday. Choice boxed beef increased $0.13 while select boxed
beef declined $3.89. Live cattle futures are holding support in a sideways
range, while feeder cattle continue their uptrend. The technical action in
feeder cattle futures on Wednesday points to higher prices as the market may be
on its way to fulfilling a head and shoulders bottom.