June 5 (Reuters) - CME live cattle futures traded mixed early Tuesday as steadily rising wholesale beef prices attracted buyers who also exercised caution while watching nervous stock market trading.
* Wall Street investors remained skittish amid persistent worries about Europe's debt crisis.
* "I don't see any reason for cattle futures to back off," a CME live cattle trader said.
* "The only worries cattle has is Europe which is keeping people on edge," he said.
* Hog futures retreated on profit-taking and sentiment that cash hog prices may be close to topping out.
LIVE CATTLE - At 8:35 a.m. CDT (1335 GMT), June was up 0.075 cent at 117.750 cents per lb, with August down 0.050 cent at 119.925 cents.
* Futures at times drew support from their price discount to last week's cash cattle prices.
* Periodic profit-taking pared gains as traders awaited this week's cash trade.
* There were no reported cash bids from packers or prices from feedlots.
* "I expect at least a steady cash market based on the beef price and profitable margins," analyst said.
* HedgersEdge estimated Monday's average beef packer margin at a positive $28.00 per head versus a positive $6.90 last week.
* The U.S. Department of Agriculture Monday pegged wholesale choice beef at $197.62 per cwt, up 37 cents from Friday.
* The CME late Monday reported no deliveries against the June contract.
FEEDER CATTLE - August was up 0.125 cent at 158.600 cents per lb. September slipped 0.100 cent to 159.575 cents.
* Feeder cattle traded in line with mixed live cattle futures.
LEAN HOGS - June was down 0.550 cent at 90.650 cents per lb, with July down 0.450 cent at 90.600 cents.
* Futures weighed by profit-taking and the premium compared with CME's latest lean hog index at 84.75 cents.
* Traders cited unprofitable pork packer margins and the possibility that cash hog prices may be close to peaking.
* "Packers could take action to improve their margins by cutting cash hog prices," an analyst said.
* "Also, the short-term void in hog marketings people have been referring to could be coming to an end," he said. (Reporting by Theopolis Waters in Chicago)