CME update: hog futures fall as production remains high
US lean hog futures fell for a third straight session on 4 December as pork production remains high and retail demand becomes cloudy.
7 December 2020
3 minute read
By: Reuters reports that CME's benchmark February lean hog futures contract settled 0.350 cent lower at 66.575 cents per pound, after falling to 64.600 cents per pound, its lowest since 20 November.
Speaking to Reuters about the trading day, Dog Houghton, technical analyst at Brock Capital Management said, “This is the time when slaughter should be peaking. That puts pressure on the front-end contracts,"
For the week, lean hog futures dipped 1 percent, after two consecutive weeks of gains.
Hog slaughter remains strong, with 491,000 head processed Friday and a nearly 2.8 million head slaughtered this week, just 15,000 short of the same week last year.
