Hog futures edge higher as pork cutout slips - CME
Cattle futures hit lowest close since March
15 July 2026
1 minute read
By: Chicago Mercantile Exchange (CME) live cattle futures declined on Tuesday amid sagging wholesale beef prices and chart-driven selling, Reuters reported, citing analysts.
Beef prices typically dip in mid-summer following the Fourth of July holiday, the last big grilling event until Labor Day in early September, analysts said, and that trend has been pronounced in recent weeks.
The US Department of Agriculture priced choice cuts of beef late on Tuesday at $373.95 per hundredweight (cwt), down $1.66 from Monday and the lowest reading since February 23. The choice cutout has dropped roughly $26 since topping $400 on June 23.
"The lull in demand that tends to take place this time of year is kicking in," said Dan Norcini, an independent livestock trader.
Meanwhile, managed commodity funds hold a sizable net long position in live cattle futures, leaving the market prone to bouts of long liquidation.
The benchmark CME August live cattle contract settled down 3.300 cents on Tuesday to 231.425 cents per pound, its lowest close since late March. The October contract ended down 2.975 cents at 227.650 cents a pound, plunging below its 200-day moving average for the first time since June 4.
CME August feeder cattle tumbled 5.550 cents, also falling below the 200-day moving average, to settle at 348.800 cents per pound.
Traders shrugged off support from softer-than-expected US inflation data that could have eased fears about consumer demand for meat.
"The inflation report gave us no support today on the cattle side. It was definitely a tough day," said Rich Nelson, chief strategist at Allendale Inc.
Cash cattle trading had not yet developed, but market players were expecting lower prices this week, Nelson said. Slaughter-ready cattle traded in the southern Plains last week at $248 per cwt, down $7 from the week prior.
CME hog futures inched higher in featureless trade. Benchmark August lean hogs settled up 0.350 cent at 98.450 cents per pound, and October hogs ended up 0.100 cent at 84.375 cents per pound.
Futures may have drawn light support from hot weather in the Midwest this week that could curb hog weights, Nelson said.
The USDA reported the pork carcass cutout value late on Tuesday at $101.21 per cwt, down 34 cents from Monday.
