Cattle futures rose, capping the first weekly gain in a month, on speculation that U.S. beef demand will climb as more people grill outdoors. Hog prices also climbed.
Wholesale beef headed for the sixth straight weekly gain, the longest rally since May 2010, U.S. Department of Agriculture data show. Meatpackers will process an estimated 648,000 head of cattle this week, up 1.3 percent from a year earlier, government figures show.
“We’re looking forward to summer and the grilling season,” Lawrence Kane, a market adviser at Stewart-Peterson Group in Yates City, Illinois, said in a telephone interview. “Cattle have been drifting lower, but we have some sensation of a bottom right in here.”
Cattle futures for August delivery rose 0.9 percent to close at $1.19225 a pound at 1 p.m. on the Chicago Mercantile Exchange. This week, the price climbed 0.6 percent.
Feeder-cattle futures for August settlement climbed 1.3 percent to $1.4455 a pound.
Hog futures for July settlement advanced 0.3 percent to 93.3 cents a pound. This week, the price climbed 2.6 percent, the most this month.