DTN Early Word Livestock Comments      03/04 06:09
   Volatility May Dominate the Livestock Market Again Today

   Cattle futures again rejected the lower opening to move back and close
higher in live cattle and mixed in feeder cattle. Market uncertainty will keep
volatility alive and well. Hog futures were mixed with the uptrend holding, but
traders are uncertain about the upside potential.

Robin Schmahl
DTN Contributing Analyst

   Cattle: Steady          Futures: Higher     Live Equiv: $284.01 +$3.36*

   Hogs: Lower             Futures: Mixed      Lean Equiv: $104.28 Unchanged**

   *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 uncertainty in the outside markets had a negative influence on cattle
futures on the opening. As the day progressed, traders became more comfortable
with focusing on the market fundamentals. Futures may have a difficult time
regaining the losses of last week due to the influence of the outside markets,
as well as the potential for cash cattle to trade no better than steady this
week. Packers have not surrounded themselves with many cattle and continue to
slow the slaughter pace to rein in the cash price. However, that can only be
maintained for a time before they will need to step up more aggressively again.
Boxed beef prices jumped on Tuesday, with choice up $6.71 and select up $0.37.
The impact of the U.S. and Israel-Iran conflict on consumer prices for goods
may impact beef demand.