ShapeShapeauthorShapechevroncrossShapeShapeShapeGrouphamburgerhomeGroupmagnifyShapeShapeShaperssShape

CME update: lean hog futures slip as slaughter numbers rise

US lean hog futures slide slightly as the slaughter pace recovers.

10 June 2020, at 9:51am

Reuters reports that CME June lean hogs slipped 0.500 cent to 48.075 cents per pound, while most-active July futures fell 1 cent to 52.975 cents.

Analysts report that the number of livestock being killed each day has recovered from April and May, when processors temporarily idled production due to coronavirus outbreaks among meat plant workers.

Meat plants have now resumed operations, but many are still operating at reduced capacity. Farmers still face a backlog of animals that couldn’t be processed during the height of them pandemic, analysts said.

Meatpackers slaughtered 450,000 hogs on Monday, up from 417,000 a week ago and down from 472,000 a year earlier, the USDA said. In March, they slaughtered up to 498,000 a day.

Across the processing sector for cattle, hogs and chickens, facilities are operating at more than 95 percent of their average capacity compared to a year ago, according to the USDA.

Read more about this story here.