Pork Futures - Cattle, Pork Complex Ends Higher
US - Chicago Mercantile Exchange live cattle futures closed higher this Monday on April/June bear and June/August and June/October bull spreading. CME lean hogs and pork bellies posted gains during the session. Lean hogs closed firm as shorts "rang the register" on the last trading day in April and higher cash quotes.
Fund buying after June initially broke through key 100-day moving average resistance, and July held above its 100-day moving average support level, contributed to advances.
However, June's upward momentum slowed as the contract approached the 40-day moving average threshold. June eventually retreated below 100-day moving support by the closing bell.
June/July spreading in both directions, and June/August and July/December bull positioning were the most popular plays of the otherwise lackluster session as market participants await the start of another of month of business on Tuesday.
Nonetheless, hog market bulls were more willing to buy into the morning's run-up given the shrinking spread between front-month hog futures and CME's cash hog index. Furthermore, June and July's oversold Relative Strength Index conditions were considered market pluses.
Country hog buyers call for extended cash firmness into Tuesday. But, whether futures will respond in kind is rather questionable given the board's recent inability to break out to either side with consistency, a trade said.
Pork belly futures also closed higher on short covering, lean hog gains, May/July bull spreading and far-month speculative hedging.
June hogs finished up 52 points at 75.10 cents. July closed 45 points higher at 75.35. May bellies finished 55 points higher at 101.50 cents, while July was up 57 points at 103.47 cents.
Source: FXSTREET.com
However, June's upward momentum slowed as the contract approached the 40-day moving average threshold. June eventually retreated below 100-day moving support by the closing bell.
June/July spreading in both directions, and June/August and July/December bull positioning were the most popular plays of the otherwise lackluster session as market participants await the start of another of month of business on Tuesday.
Nonetheless, hog market bulls were more willing to buy into the morning's run-up given the shrinking spread between front-month hog futures and CME's cash hog index. Furthermore, June and July's oversold Relative Strength Index conditions were considered market pluses.
Country hog buyers call for extended cash firmness into Tuesday. But, whether futures will respond in kind is rather questionable given the board's recent inability to break out to either side with consistency, a trade said.
Pork belly futures also closed higher on short covering, lean hog gains, May/July bull spreading and far-month speculative hedging.
June hogs finished up 52 points at 75.10 cents. July closed 45 points higher at 75.35. May bellies finished 55 points higher at 101.50 cents, while July was up 57 points at 103.47 cents.
Source: FXSTREET.com