DTN Early Word Livestock Comments      09/09 06:08
   Lawmakers Move to Block 90-day Beef Import Plan

   It was a strong beginning to a holiday-shortened week with traders
aggressively buying futures in the livestock complex. It seems that the
oversold aspect of the markets and some positive technical indicators caught
the attention of traders.

Robin Schmahl
DTN Contributing Analyst

   Cattle: Steady          Futures: Higher      Live Equiv: $276.65 +$0.59*

   Hogs: Higher            Futures: Higher      Lean Equiv: $98.83 -$1.04**

   *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 posted a strong day as the market opened stronger and never
looked back. The free fall in cash may have subsided, giving traders the
confidence to buy into an oversold market. The MACD technical indicator also
crossed over, turning higher. Traders following technical indicators may feel
more confident that a price retracement could unfold. If cash prices find
stability this week, futures will rebound to reduce some of the discount they
contain. Boxed beef prices did not provide strong support to the market, with
choice up $1.40 and select down $0.48. Lawmakers are moving to block the
importation of the large volume of beef over a 90-day period that is intended
to reduce beef prices to consumers. If this is successful, futures will see
further gains.