Hogs Gain on Signs of Rising U.S. Pork Demand; Cattle Decline

Hog futures rose for the fourth time in five sessions on signs of improving demand for U.S. pork. Cattle prices fell.

Wholesale-pork prices have jumped 4.9 percent from a six- year low on Aug. 18, government data show. Hog producers also are shrinking herds by slaughtering more breeding sows. As of yesterday, the average price of female pigs sold to meat processors fell 29 percent since Aug. 7, government data show.

Meatpackers “obviously have to be moving some product, because product prices have expanded,” said Dick Quiter, an account executive at McFarland Commodities LLC in Chicago. “Heavy sow numbers coming to market, that’s helping put on a little bit more positive spin.”