CME update: hog rally pauses on profit taking
US lean hog futures stalled on 29 March, closing lower after reaching contract highs on Friday.
30 March 2021
3 minute read
By: Reuters reports that CME lean hog futures closed lower in a round of profit-taking after contract highs set on Friday.
April lean hogs ended down 0.425 cent at 100.375 cents per pound, and most-active June hogs settled down 0.375 cent at 105.225 cents.
Commodity funds hold a large net long position in CME lean hog futures, leaving the market open to bouts of long liquidation.
However, firming cash hog prices, expectations of tightening US hog supplies and brisk domestic and export demand for pork kept a floor under the market. Traders also expect the US economy to rebound from the coronavirus pandemic, shoring up its position.
