Cattle and hog futures fall - CME
Demand has dropped significantly
2 May 2022
1 minute read
By: CME Group hog futures dropped to their lowest in nearly three months on Friday, pressured by concerns about consumer demand as summer grilling season nears, reported Reuters, citing traders.
Cattle futures also fell.
Some end-of-month fund liquidation likely added to the weakness in livestock contracts, traders said.
"There is not a whole lot of good news on the demand front," said Altin Kalo, economist at Steiner Consulting Group. "Disposable incomes are down, inflation has ratcheted up. The consumer is a lot less certain than a year ago."
Benchmark June lean hogs settled 4.6 cents lower at 106.375 cents per pound. The contract, which hit its lowest since 1 February, dropped below its 100-day moving average as well as the low end of its 20-day Bollinger range during the session.
CME June live cattle futures dropped 1.25 cents to settle at 132.65 cents per pound.
CME May feeder cattle fell 1.6 cents to 156.35 cents per pound and most-active August feeders dropped 2.125 cents to 168.275 cents a pound.
