Cattle markets climb as grilling season approaches - CME
Lean hog futures continue to slide
9 May 2025
2 minute read
By: Chicago Mercantile Exchange (CME) live cattle and feeder cattle rose on Thursday, as demand surged ahead of Mother's Day and the start of grilling season, Reuters reported, citing analysts.
A tight cattle supply and strong demand from consumers and retailers has propelled cattle futures higher, while hog futures chopped sideways amid a lack of fresh news and lackluster demand.
CME June live cattle futures settled 1.725 cents higher at 214.25 cents per pound. August feeder cattle futures FCQ25 rose 2.65 cents to end at 301.25 cents per pound.
"We're still in the prime of our demand season," Matthew Wiegand, broker at FuturesOne, said. "Longer-term demand may be a bigger concern."
Despite some worries about price-conscious consumers shying away from pricey beef, boxed beef prices have held strong so far.
Choice cuts of boxed beef rose $1.65 to $347.80 per hundredweight on Thursday morning, while select cuts rose 58 cents to $334.58 per hundredweight, according to the US Department of Agriculture data.
Meanwhile, rising equities markets have also buoyed cattle futures. Global equities rose on Thursday, with Wall Street outperforming, while the dollar and Treasury yields also gained after the United States and the United Kingdom outlined a trade deal.
CME June lean hog futures fell 0.15 cent to close at 97.175 cents per pound. Spread trading, which involves traders buying cattle contracts and selling lean hog contracts, contributed to the slide in hog futures on Thursday, Wiegand said.
The loss of China as a major export market for US pork amid the ongoing trade war has weighed on prices, though the upcoming US-China trade talks in Switzerland have added some optimism into the market.
