Hog futures slip on cattle spillover despite firm pork demand - CME
Cattle futures sink as fuel, stocks rattle beef demand outlook
10 March 2026
1 minute read
By: Chicago Mercantile Exchange (CME) live and feeder cattle futures fell on Monday as rising gasoline prices and a stock market downturn stoked broader economic worries and fuelled concerns about consumer spending on beef, reported Reuters.
Managed funds exited long positions for a second straight session and technical selling accelerated the market's decline as actively traded contracts fell below recent lows and broke through key technical chart support levels.
Elevated feed corn prices further pressured the feeder cattle market.
Markets, including commodities, have been riled by hostilities in the Middle East since US President Donald Trump and allies in Israel attacked Iran more than a week ago, disrupting crude oil production and shipping across the region and sending crude oil prices to highs not seen since 2022. Equities markets spent much of the day near multi-month lows.
"The cattle are being dragged down by the corn rally and Wall Street weakness, and the feeders have been the ones taking the biggest hit," said Mike Zuzolo, president of Global Commodity Analytics.
A late-session crude oil drop and stock market rebound came too late for cattle markets.
CME April live cattle ended 4.425 cents lower at 230.150 cents per pound, after hitting their lowest point since mid-December. April feeders touched limit-down and settled at 346.550 cents per pound, down 5.075 cents on the day.
Beef packers have been acquiring cattle at lower prices in recent weeks, but their margins remain in the red. Pared-back production, however, has buoyed wholesale beef prices, with choice and select cuts gaining more than $4 per hundredweight on Monday, according to data from the US Department of Agriculture.
The average beef packer margin was estimated at a negative $117.95 per head on Monday, compared with losses of $220.00 per head a week ago, according to livestock marketing advisory service HedgersEdge.
Lean hog futures fell on Monday as spillover pressure from lower cattle more than offset support from firm pork demand.
CME April hogs closed 0.800 cent lower at 94.825 cents per pound.
