Hog Futures Rise on Increased Grilling Demand; Cattle Fall

Hog futures climbed for the second straight session on speculation that demand for U.S. pork will remain strong heading into the Fourth of July weekend. Cattle fell.

Meatpackers processed 1.27 million hogs this week as of July 3, up 5.2 percent from a year earlier, U.S. Department of Agriculture data show. Independence Day is the most popular day for outdoor cookouts, according to the Hearth, Patio and Barbecue Association.

“If demand stays strong, the futures can stay strong,” Dick Quiter, an account executive at McFarland Commodities LLC in Chicago, said in a telephone interview from Michigan.

Hog futures for August settlement rose 0.5 percent to 97.35 cents a pound at 10:36 a.m. on the Chicago Mercantile Exchange. Prices were up 13 percent this year through July 3.

Cattle futures for August delivery slid 0.1 percent to $1.2185 a pound on the CME. Prices are down 7.8 percent this year.

Feeder-cattle futures for August settlement added 0.3 percent to $1.5145 a pound.

The markets were closed yesterday for the Independence Day holiday.

To contact the reporter on this story: Jen Skerritt in Winnipeg at jskerritt1@bloomberg.net

To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net

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