Chicago | Reuters — CME Group hog futures rallied on Friday, rebounding from a two-month low on a round of end-of-week bargain buying.
Cattle futures also were firm despite concerns about waning demand, traders said.
Cash market strength added support to both hogs and cattle.
CME February lean hogs jumped 4.125 cents, to 85.775 cents/lb. (all figures US$). February hogs had bottomed out at 81.525 cents on Thursday, their lowest since Oct. 14.
CME benchmark February live cattle rose 0.925 cent, to 155.775 cents/lb. February live cattle rose above its 20-day and 40-day moving averages during the session, before consolidating around its five-day moving average.
The spot December live cattle contract settled up one cent at 155.05 cents/lb. December live cattle futures expire on Dec. 30.
CME January feeder cattle gained 0.725 cent, to 183.775 cents/lb.
Boxed beef prices strengthened on Friday, with choice cuts gaining $8.53, to $262.83 per hundredweight (cwt), while select cuts rose $6.94, to $235.45/cwt, the U.S. Department of Agriculture said.
— Mark Weinraub is a Reuters commodities correspondent in Chicago.
