Live cattle futures fall - CME
April hog futures slip
1 March 2022
2 minute read
Chicago Mercantile Exchange (CME) live cattle futures fell to their lowest level in more than a month on Monday as beef prices weakened and some traders reduced risk amid uncertainty over Russia's invasion of Ukraine, analysts said.
Feeder cattle futures fell to their lowest price since November and lean hogs also slumped, reported Reuters.
Spillover pressure from losses in the stock market weighed on cattle futures, traders said. The S&P 500 ended lower in volatile trading after the West ramped up sanctions against Moscow over the invasion.
A rise in energy prices due to the conflict will hit livestock farming, French President Emmanuel Macron said over the weekend.
CME April live cattle ended 0.500 cent lower at 141.425 cents per pound and touched its lowest price since 25 January.
The choice boxed beef cutout value was 76 cents lower at $257.51 per cwt, while the select cutout was down $2.00 at $253.41 per cwt, the US Department of Agriculture (USDA) said.
CME March feeder cattle slid 2.300 cents to 157.725 cents per pound as futures price for corn and wheat used for feed climbed. The contract touched its lowest price since 2 November.
In the pork market, CME April hog futures slipped 0.175 cent to settle at 103.500 cents per pound, while June hogs ended down 0.450 cent at 113.425 cents per pound.
China will buy 40,000 tonnes of pork for its central state reserves this week, in the first round of such stockpiling this year, China Merchandise Reserve Management Center said.
China is seeking to support hog prices after a sharp fall following the Lunar New Year holiday, when excess supply and flat demand weighed on the market.
Source: Reuters
