CHICAGO, July 28 (Reuters) – Chicago Mercantile Exchange
livestock futures rose on Friday, with the hog market reaching
its highest price in a week as profit margins improved for pork
processors.
The hog market has turned higher after dropping to a
one-week low on Wednesday.
Most-active October lean hog futures ended up 1.775
cents to 85.025 cents per pound on Friday, hitting their highest
price since July 21.
Margins for pork processors rose to $12.95 from $2.20 on
Thursday and $11.55 a week ago, HedgersEdge.com said. Improved
margins can boost packers’ demand for hogs.
Processors slaughtered an estimated 460,000 hogs, compared
to 438,000 hogs a week ago and 438,000 hogs a year ago,
according to the U.S. Department of Agriculture.
For beef processors, margins are worsening. They lost an
estimated $80.85 per head of cattle slaughtered on Friday,
compared to losses of $77.90 on Thursday and losses of $62.65 a
week ago.
Packers slaughtered an estimated 110,000 cattle, down from
114,000 cattle a week ago and 122,000 cattle a year ago, the
USDA said.
In CME cattle futures, August live cattle rose 0.100
cent to 178.150 cents per pound. Most-active October live cattle
also advanced 0.100 cent to settle at 179.600 cents per
pound.
August feeder cattle futures ended up 0.950 cent at
245.600 cents per pound. Weakness in corn futures helped
support feeders by signaling lower costs for feed, traders said.
(Reporting by Tom Polansek in Chicago; Editing by Pooja Desai)
Read More: Commodities : LIVESTOCK-CME lean hog futures reach one-week high