Chicago | Reuters — U.S. hog futures rose to their highest in more than a year on Thursday, as consumer demand for pork remained robust even as the weather turned cooler.
The front-month hog contract has risen for seven days in a row.
“The domestic demand is just on fire,” said Don Roose, analyst with U.S. Commodities in West Des Moines, Iowa. “The U.S. markets are finally catching up with the world market.”
The U.S. Agriculture Department said that weekly pork export sales totaled 40,800 tonnes, up from 38,100 tonnes a week earlier.
The U.S. pork cutout, an indication of wholesale pork prices, was reported at $95.36/cwt on Thursday afternoon, up 18 cents from Wednesday afternoon, according to the U.S. Department of Agriculture (all figures US$).
Chicago Mercantile Exchange October lean hogs advanced 0.475 cent to close at 77.35 cents/lb. On a continuous basis, the front-month contract hit its highest since Aug. 14, 2019.
Most-active December hogs settled up 2.275 cents at 66.85 cents.
In the U.S. beef market, CME October live cattle futures slipped 0.475 cent, to 109.7 cents/lb. Most-active December cattle dropped 0.475 cent, to 112.625 cents.
CME November feeder cattle dropped 1.425 cents, to 136.45 cents/lb.
Export sales of beef came in at 22,900 tonnes, down from 26,100 tonnes a week earlier.
— Mark Weinraub is a Reuters commodities correspondent in Chicago.