DTN Early Word Livestock Comments      11/24 06:19
   Livestock Market Uncertainty May Make for Difficult Trade

   Cattle futures attempted to hold higher but could not muster sufficient
buying interest to accomplish the task. Lower cash and the Cattle on Feed
report kept pressure on the market. Hog futures were unable to find support
throughout the day, with cash showing continued weakness.

Robin Schmahl
DTN Contributing Analyst

   Cattle: Lower          Futures: Higher        Live Equiv: $270.62 +$0.69*

   Hogs: Higher           Futures: Higher        Lean Equiv: $99.54 +$3.22**

   *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:

   The delayed October and much-anticipated November Cattle on Feed report was
released. The report was neutral to friendly, as on-feed numbers were nearly
what was expected at 97.9%. Placements in October were friendly, with the
actual coming in at 90% and lower than estimates. This was no surprise as
cattle are not being imported from Mexico, and some minor heifer retention is
being noted. Marketings were slightly lower than estimates at 92%. The October
report was also released, but it does not have much impact on the market, as it
is after the fact. Placements were higher in September than expected, but still
6% lower than the previous year. The greater impact on the market was lower
cash for the week, with Northern dressed cattle down $6.00 and Southern live
down as much as $6.00. Boxed beef was higher, with choice up $0.20 and select
up $2.80. For the week, choice declined $3.78 with select down $2.61. Futures
may find some stability, but a higher trend may be difficult to unfold.