ShapeShapeauthorShapechevroncrossShapeShapeShapeGrouphamburgerhomeGroupmagnifyShapeShapeShaperssShape

CME update: hog futures mixed as China tensions cloud positive US outlook

US lean hog futures were high for most of 27 May but faltered as relations between Beijing and Washington DC soured.

28 May 2020, at 8:44am

Reuters reports that US economic optimism has improved as more states lift lockdown orders. The S&P closed above 3,000 points for the first time since 5 March, signalling hopes of an economic turnaround.

Doug Houghton, an analyst at Brock Capital Management told Reuters, "there is also economic optimism coming out of Memorial Day, with stocks up again, businesses reopening and states lifting their COVID-19 restrictions."

Lean hog futures were higher for much of 27 May amid economic optimism. But the market ended mixed as tensions between the United States and China, the world's top hog and pork market, escalated following comments by US Secretary of State Mike Pompeo about Hong Kong's autonomy.

Most-active July futures ended down 0.275 cent at 59.300 cents per lb. Deferred contracts were up as much as 1.400 cents.

Read more about this story here.