DTN Early Word Opening Livestock       06/18 06:25
   Beef Futures Set for Softer Opening

   Live and feeder cattle contracts should start out moderately lower, checked
by light profit taking and cash uncertainty. Lean hog futures are likely to
open on a mixed basis thanks to bull spreading interest and the possibility of
topping fundamentals.

By John Harrington
DTN Livestock Analyst


Cattle:  Steady-$2 LR    Futures: 10-30 LR  Live Equiv $136.88 + 0.69*
Hogs:    Steady-0.50 HR  Futures: mixed     Lean Equiv $112.32 + 0.50**
* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue

GENERAL COMMENTS:

   More times than not, Tuesdays in the cash cattle trade are long on yawns and
short on bids. It would be shocking to see more potential this morning. It's a
good guess that early asking prices will be around $123-plus in the South and
$196-197 in the North. In other words, showlists are likely to be priced $3-4
over the board on a live basis. Feedlot managers have grown to expect selling
steers and heifers well over the board. Insisting on such a strong basis could
easily delay (yet again) significant cash business until the tail end of the
week. Live and feeder futures are expected to open moderately lower, pressured
by profit taking and uncertain cash potential.