DTN Closing Livestock Comment 07/16 15:27
   Cattle Market Momentum Continues

   Active buying redeveloped midweek in all livestock trade with triple-digit
gains seen in not only cattle futures Wednesday, but most nearby lean hog
contracts as well.

Rick Kment
DTN Analyst

GENERAL COMMENTS:

   Livestock futures surged higher once again Wednesday, with feeder cattle
contracts once again leading the bullish market surge, posting gains of $3 per
cwt or greater by late-day trade. This underlying support through the complex
has moved spot month August feeder cattle contracts to new all-time highs,
closing at $325.57 per cwt. The ability to break above last week's highs helped
to spark renewed market optimism in all cattle trade through the end of the
Wednesday trading session. Traders remain focused on the expectation that
fundamental market support will continue to develop over the coming days, but
given the current aggressive rise in prices, especially in feeder cattle
markets, some market watchers are closely assessing the potential of a market
correction in the near future. Hog prices closed higher on the Daily Direct
Afternoon hog report, up $0.12 with a weighted average of $112.72 on 8,772
hogs. December corn closed up 4 1/4 at $4.24 and December soybean meal closed
up $4.00 at $283.5. The Dow Jones Industrial Average is up 231.49 at 44,254.78.