DTN Early Word Livestock Comments      12/26 06:03
   Early Trading Activity Expected To Be Light

   There was not much for traders to go on during the shortened trading day on
Tuesday. There were no reports of cash cattle trading and no reports of boxed
beef prices. Hog futures followed a similar pattern as trading activity was
light with limited interest in a price direction

Robin Schmahl
DTN Contributing Analyst

   Cattle: Steady        Futures: Mixed       Live Equiv: N/A*

   Hogs: Lower          Futures: Lower       Lean Equiv: N/A**

   *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:

   Cash cattle trade is expected today but it is uncertain what prices will do.
The USDA did not release any reports on Tuesday keeping traders guessing what
boxed beef prices did. The hope is that cash cattle will trade no worse than
steady this week. However, the packers had purchased a significant amount of
cattle ahead possibly leaving them in the position to hold the line on prices
or even maintain lower bids due to next week also being a holiday week. It may
be up to feedlots if they want to hold cattle over or move some even if it
means steady to lower prices. Feeder cattle futures fell back hovering near the
lows of the range and possibly testing support.