Lean hogs reach highest level since April - CME
Live cattle futures reach two-week high, cattle futures slump
8 July 2022
2 minute read
By: Chicago Mercantile Exchange (CME) lean hog futures jumped to their highest price since April on Thursday on US supply concerns and strength in outside markets, reported Reuters, citing brokers.
Live cattle reached a two-week high in the most-active contract, while feeder cattle futures slumped under pressure from soaring costs for grain used for livestock feed.
Gains in the stock market and reduced supplies of livestock helped support lean hogs and live cattle, brokers said. On Friday, they will review weekly US export sales data for signals on pork and beef demand.
Most-active August lean hogs rose 0.300 cents to end at 109.500 cents per pound and touched their highest price since April 29 at 111.750 cents.
The US Department of Agriculture reported the pork carcass cutout value at $112.19 per cwt, up $0.69 from Wednesday.
In the cattle market, August live cattle futures settled up 0.050 cents at 134.550 cents per pound. August feeder cattle, meanwhile, dropped 0.825 cent to close at 172.475 cents per pound.
Prices for choice cuts of boxed beef were nearly flat at $268.07 per cwt and select cuts dipped $0.35 to $242.58 per cwt, the USDA said.
The agency said separately that meatpackers slaughtered an estimated 126,000 cattle on Thursday, up from 124,000 cattle a week ago, and 466,000 hogs, up from 463,000 hogs a week ago.
Profit margins for beef processors increased to $144.25 per head of cattle from $120.05 per head on Wednesday, HedgersEdge.com said. That was up from $125.75 per head a week ago.
