LIVESTOCK-CME lean hog futures touch three-week low


By Tom Polansek

CHICAGO, Jan 5 (Reuters) - CME Group lean hog futures set a three-week low on Thursday, under pressure from losses in broader markets and following recent weakness in cash hog prices, analysts said.

Feeder cattle futures also ended lower as the market pulled back one day after hitting a September high.

Livestock markets took signals from a decline in U.S. stocks amid concerns that economic headwinds could dent demand for pricey meat, traders said.

CME February lean hogs LHG3 ended down 1.550 cents at 82.525 cents per pound and reached their lowest price since Dec. 15 at 81.600.

Lean hog futures are expected to find support later in the year from tightening supplies of U.S. hogs, though the market is not focused on that factor yet, a broker said.

In feeder cattle futures, the March contract FCH3 sank 1.675 cents to 186.550 cents per pound. It was a turnaround after futures prices rallied on Wednesday when a drop in grain prices made livestock feed less expensive.

Corn futures Cv1 on Thursday finished down just 1 cent at the Chicago Board of Trade, after setting a two-week low.

Most live cattle futures settled lower, though the benchmark February contract LCG3 ended up 0.075 cent at 157.350 cents per pound.

Strong wholesale boxed beef prices have recently helped underpin live cattle futures, brokers said.

(Reporting by Tom Polansek in Chicago)


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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