DTN Early Word Opening Livestock       05/22 06:35
   Lean Hog Futures Likely to Open on Firm Basis

   Look for the lean hog pit to start out some higher, supported by
follow-through buying and the premium status of the cash index. On the other
hand, the cattle complex is likely to produced mixed price action in the early
rounds thanks to a combination of spillover buying interest and midweek profit
taking.

By John Harrington
DTN Livestock Analyst



Cattle: Steady-$1 LR      Futures: mixed      Live Equiv $142.24 + 0.07*
Hogs:   Cash 0.50-$1 HR   Futures: 10-30 HR   Lean Equiv $ 100.70  +0.31**
* based on formula estimating live cattle equivalent of gross packer revenue
** based on formula estimating lean hog equivalent of gross packer revenue

GENERAL COMMENTS:

   Cattle buyers could start to stretch their legs this morning, throwing out
preliminary bids here and there if only to get in line. Yet higher asking
prices of $127 in the South and $203-205 in the North could easily mean that
significant trade volume will be delayed until Thursday or Friday. Live and
feeder futures seem ready to open with mixed prices thanks to both residual
buying on one hand and pre-cash profit taking on the other.