DTN Early Word Livestock Comments      11/25 06:11
   Follow-Through Selling Likely in Cattle Futures

   Follow-through selling is almost certain to take place today as traders
remain uncertain over the impact of the Tyson plant closing in Nebraska. Hogs
rebounded somewhat from the losses on Friday, supported by higher cash and
cutouts.

Robin Schmahl
DTN Contributing Analyst

   Cattle: Lower          Futures: Lower        Live Equiv: $269.82 -$0.80*

   Hogs: Higher           Futures: Higher        Lean Equiv: $99.89 +$0.35**

   *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 limit lower trade in cattle futures results in expanded limits today.
The fact that some traders could not liquidate long positions due to futures
being limit down may increase the desire to sell at the open to exit those
positions. Even though the Cattle on Feed report was neutral to bullish, the
Tyson plant closing in Nebraska was a bearish development. This, along with the
plant in Amarillo, Texas, reducing its capacity, is a bearish development. The
market has recently seen uncertainty on top of uncertainty, resulting in live
cattle futures falling to the lowest level since late June and feeder cattle to
the lowest level since early July. Boxed beef prices were lower on Monday with
choice down $0.99 and select down $1.47.