May 20, 2021

CME hog and cattle futures up thanks to firm cash markets

Hog and cattle futures on the Chicago Mercantile Exchange (CME) closed higher as the market was underpinned by strength in the cash markets, Reuters reported.

Cattle contracts saw their prices rise to their highest in close to a week as the corn market recovered from major declines. Corn futures' early weakness gave hope to reduced livestock feed costs.

CME June lean hog futures closed 0.3 cent higher at 110.95 cents per pounds.

In the morning of 19 May, the pork cutout value increased US$1.57 to US$117.63 per hundredweight (cwt) but the US Department of Agriculture (USDA) said it stayed under the one-year highs that were reached earlier this week.

CME August live cattle futures ended 0.4 cent higher to 110.125 cents per pound. August feeder cattle also closed higher at 152.875 cents per pound, up 0.95 cent.

USDA data showed prices for choice cuts of boxed beef increased US$2.68 to US$323.94 per (cwt) by late May 19, with select cuts US$3.70 up to US$299.05 per cwt.

- Reuters