Chicago | Reuters — Chicago Mercantile Exchange live cattle futures climbed to a 3-1/2 month peak on Monday, supported by firm cash market prices and tightening supplies.
Falling corn feed prices supported feeder cattle futures, while lean hog contracts also gained and touched the highest level since June 2021.
CME August live cattle futures peaked at 138.775 cents/lb., the highest for a front-month contract since April 29, and ended 0.475 cent higher at 138.35 cents/lb. (all figures US$). Most actively traded October rose 0.35 cent to settle at 144.225 cents.
Read Also
U.S. grains: Soybean futures set two-week high on US weather worry, soyoil rally
Chicago Board of Trade soybean futures touched a two-week high on Friday on worries that heat may threaten U.S. crops and expectations that the country’s biofuel policy would boost demand for soyoil, analysts said.
Cash cattle at U.S. Plains feedlot markets traded around $1/cwt higher last week and could remain firm as supplies of fed cattle are expected to get tighter in the weeks and months ahead.
September feeder cattle futures closed up 2.225 cents at 185.65 cents/lb. as CBOT corn values fell.
August lean hog futures ended 0.975 cent higher at 121.8 cents/lb. after peaking at 121.975 cents, the highest for a front-month hog contract since June 2021.
The most-active October contract gained 1.9 cents, to 100.3 cents, supported by its steep discount to the soon-to-expire August contract.
— Reporting for Reuters by Karl Plume in Chicago.
