CME update: lean hog futures climb higher on strong consumer demand
US lean hog futures inched higher on 6 April, supported by strong consumer meat demand and strong cash prices.
7 April 2021
3 minute read
By: Reuters reports that CME June lean hogs settled 0.025 cent higher at 105.625 cents per pound.
"The demand for protein is strong," said Altin Kalo, economist at Steiner Consulting Group. It’s people getting ready for the spring and restaurants opening up and trying to refill the pipeline."
The CME's lean hog index, a two-day weighted average of cash prices, climbed to $100.10 per cwt, its highest since October 2014, though Kalo noted the rise in cash hogs has slowed.
"The cash market seems like it’s settled down – for a little while it seemed like it just kept going higher every single day," he said.
The number of hogs slaughtered also regained, with 492,000 hogs processed Tuesday, versus 325,000 on Monday 5 April, according to the USDA.
