Hog market slips as traders take profits - CME
Beef futures rise on tight supply and firm prices
8 October 2025
1 minute read
By: Chicago Mercantile Exchange (CME) live cattle futures climbed for a third straight session on Tuesday, propelled by rising beef prices and strong gains in the feeder cattle market, Reuters reported, citing analysts.
Feeder cattle futures reached their highest point in six weeks on tight supplies of animals and an ongoing ban on Mexican imports due to the spread of the parasitic, flesh-eating screwworm south of the border.
Rising wholesale beef values following a month-long decline, and some expectations for steady to firmer cash prices at feedlot markets this week fuelled strength in live cattle futures.
"The boxed beef was at a low point for now, so that helps a little bit in the short term," said Matthew Wiegand, a broker with FuturesOne.
The choice boxed beef cutout value gained $2.63 to $365.97 per hundredweight, rising for a second straight day after hitting a two-month low late last week, according to US Department of Agriculture data. The select cutout was up 91 cents at $348.88 per cwt.
Beef packer margins, however, remained deeply in the red, with packer losses on Tuesday estimated at $200.10 per head, down from losses of $184.60 per head a week ago, according to livestock marketing advisory service HedgersEdge.
CME December live cattle rose 1.050 cents to end at 237.725 cents per pound, holding technical chart support at its 20- and 50-day moving averages.
CME November feeders reached their highest point since September 2 during the session and closed 3.450 cents higher at 364.250 cents per pound as supplies of animals remain tight.
Imports from Mexico remain shuttered due to the northward spread of screwworm, including the latest news on Monday of a case in Nuevo Leon state.
CME lean hog futures finished lower in a profit-taking setback from recent highs, with benchmark December futures down 1.100 cents at 86.175 cents per pound.
