CME update: lean hogs reach four-month high on strong US export sales
US lean hog futures hit a four-month high on 3 September as USDA data showed strong export demand and short covering.
4 September 2020
3 minute read
By: Reuters reports that USDA logged net US pork export sales of 53,646 tonnes for the week ending 27 August, up 36 percent from the previous week. China, the world’s top pork consumer, was the main buyer, taking 28,712 tonnes.
Chinese importers have been bringing in huge volumes of meat to fill a large domestic supply shortfall after multiple outbreaks of African swine fever killed millions of pigs in China.
Mexico purchased 14,705 tonnes of US pork, making it the second biggest buyer last week, according to USDA data.
"China and Mexico were certainly leading the parade," said Altin Kalo, agricultural economist for Steiner Consulting.
Chicago Mercantile Exchange October lean hogs settled up 2.850 cents at 59.250 cents per pound and set their highest price since 5 May.
