DTN Early Word Livestock Comments      09/27 06:15
   Hog Futures May See Further Weakness Friday

   Cash cattle traded higher and should support the market Friday. Feedlots
succeeded in getting packers to pay more for their cattle. Hogs closed lower
but rebounded nicely from the lows earlier Thursday. Traders positioned ahead
of the Quarterly Hogs & Pigs report.

Robin Schmahl
DTN Contributing Analyst

   Cattle: Higher        Futures: Higher       Live Equiv: $217.48 -$1.08*

   Hogs: Lower          Futures: Mixed      Lean Equiv: $100.69 +$0.54**

   *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:

   Cattle futures were higher Thursday with front-month October posting the
greatest gain. Traders anticipated cash cattle could trade at least steady this
week and were rewarded as packers stepped up aggressively. Northern dressed
cattle traded as much at $4.00 higher while Southern live cattle traded $2.00
higher. This was a win for feedlots as their persistence paid off. This should
provide further support to the futures market. Weekly export sales did not
provide support as sales were 38% below a week ago. Boxed beef prices continue
the lower trend with choice down $1.80 and select down $0.91.