Hog futures advanced for the first time in four sessions on speculation that animal supplies in the U.S. may shrink. Cattle prices fell.
Wholesale pork rose 0.5 percent to $1.0482 a pound yesterday, the highest since Aug. 22, 2011, U.S. Department of Agriculture data show. Porcine epidemic diarrhea virus, a hog disease that has spread to at least 11 states, may slow weight gain and shrink hog litters, said Lawrence Kane, a senior market adviser at Stewart-Peterson Group.
Hog futures for August settlement rose 1 percent to 97.6 cents a pound at 10:16 a.m. on the Chicago Mercantile Exchange. The August contract gained 0.2 percent this year through yesterday.
The U.S. Department of Agriculture reported a detection of PEDV on May 17 and noted that it doesn’t affect people and is not a food-safety concern. Spot hogs added 0.4 percent to 99.58 cents a pound yesterday, the sixth gain in seven sessions, government data show.
Cattle futures for August delivery declined 0.1 percent to $1.1915 a pound in Chicago. Prices were down 9.9 percent this year through yesterday.
Feeder-cattle futures for August settlement slipped 0.3 percent to $1.44075 a pound.
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