US cattle markets firm on technical buying - CME
Lean hog futures rise on technical buying
15 August 2024
1 minute read
By: Chicago Mercantile Exchange (CME) cattle futures rose on Wednesday on technical buying and increasing beef demand ahead of the upcoming US Labor Day holiday, Reuters reported, citing analysts.
Technical buying also drove an uptick in lean hog futures, according to analysts.
CME most-active October live cattle closed up 1.375 cents at 182.125 cents per pound, after breaking through technical resistance at its 100- and 200-day moving averages. Most-active October feeder cattle finished 2.175 cents higher at 242.100 cents per pound.
"Yesterday the technicals improved on the cattle," said Don Roose, president of US Commodities. Futures had been too low in comparison to cash market prices, he said, and the market is seeing the beginning of Labor Day demand.
The US holiday, celebrated on Sept. 2 in 2024, is traditionally a major grilling holiday.
CME lean hog futures also rose on technical buying, said Roose.
CME October lean hog futures ended up 3.075 cents at 75.925 cents per pound, after hitting a one-month low on Tuesday. The benchmark contract broke through technical chart resistance at its 20- and 50-day moving averages and touched its highest point in a week.
Traders have rolled positions out of the August live hog contract as it nears expiration.
