Livestock-CME Beef Futures Slump on Inflation Fears, Technical Trading
CME Futures Close Lower amid Tariff Concerns
Table of Contents
- CME Futures Close Lower amid Tariff Concerns
- CME Futures Close Lower Amidst Economic Concerns
- What Factors Influenced the Decline in CME Beef Futures?
- How Did Lean Hog Futures Perform?
- What Were the Closing Prices for Live and Feeder Cattle Futures?
- What is the Impact of USDA Reports and Economic Data?
- How Did Boxed Beef Cutout Values Change?
- What are the Concerns Regarding Beef Exports?
- Summary of Futures Performance
Chicago Mercantile Exchange (CME) beef futures closed lower on Friday due to technical trading, influenced by inflation concerns adn potential retaliatory measures related to U.S. tariffs, according to market analysts.
Lean hog traders reacted to a government report released Thursday after trading hours.
Teh U.S. Department of Agriculture (USDA) report indicated that the pork supply on March 1 was slightly below the previous year, falling short of the average analyst forecast of a 1.2% increase. the report also showed a slight decline in markets and a roughly 1% decrease in breeding stock.
On Friday, the CME price for lean hogs for April delivery fell 0.325 cents to 86.700 cents per pound. The most actively traded June lean hog futures decreased 0.400 cents to 95.775 cents per pound.
Actively traded June live cattle futures closed down 1.325 cents at 204.850 cents per pound. May feeder cattle futures followed the decline, dropping 1.350 cents to 285.175 cents per pound.
U.S. economic data fueled concerns about weak economic growth and high inflation as the U.S.government tightens tariffs.
Consumer spending in the United States increased less than expected in February, while underlying prices rose at their fastest pace in 13 months.
The Choice boxed beef cutout value fell $2.33 to $333.39 per hundredweight (cwt) Friday morning, while the Select cutout value rose 92 cents to $320.36 per cwt.
Cattle dealers are increasingly concerned that export demand for beef could face further pressure if the U.S. management introduces additional tariffs next week.
The USDA reported that net export sales of U.S. beef fell to their lowest level since late December last week, following news that China allowed registrations that permit hundreds of American meat factories to export.
CME Futures Close Lower Amidst Economic Concerns
What Factors Influenced the Decline in CME Beef Futures?
CME beef futures closed lower on Friday, influenced by several factors, including:
Technical Trading: Market analysts reported that technical trading played a role in the downward movement.
Inflation concerns: Concerns about inflation weighed on market sentiment.
Tariff Concerns: Potential retaliatory measures related to U.S. tariffs also impacted the futures market.
How Did Lean Hog Futures Perform?
Lean hog traders reacted to a government report released Thursday after trading hours. Here’s how different lean hog futures contracts performed on Friday:
April Delivery: The CME price for lean hogs for April delivery fell 0.325 cents to 86.700 cents per pound.
June Delivery: The most actively traded June lean hog futures decreased 0.400 cents to 95.775 cents per pound.
What Were the Closing Prices for Live and Feeder Cattle Futures?
Live Cattle Futures: Actively traded June live cattle futures closed down 1.325 cents at 204.850 cents per pound.
Feeder Cattle Futures: May feeder cattle futures followed the decline, dropping 1.350 cents to 285.175 cents per pound.
What is the Impact of USDA Reports and Economic Data?
Pork Supply: A USDA report indicated a slightly lower pork supply on March 1 compared to the previous year. The report also showed a slight decline in markets and a roughly 1% decrease in breeding stock.
* Economic Data: U.S.economic data fueled concerns about weak economic growth and high inflation.Consumer spending in the United States increased less than expected in February, while underlying prices rose at their fastest pace in 13 months.
How Did Boxed Beef Cutout Values Change?
The Choice boxed beef cutout value fell $2.33 to $333.39 per hundredweight (cwt) Friday morning, while the Select cutout value rose 92 cents to $320.36 per cwt.
What are the Concerns Regarding Beef Exports?
cattle dealers are concerned that export demand for beef could face further pressure if the U.S. introduces additional tariffs. The USDA reported that net export sales of U.S. beef fell to their lowest level as late December last week.
Summary of Futures Performance
| Futures Contract | Closing Price (March 29, 2025) | Change |
| :———————– | :—————————– | :——— |
| June Live Cattle | 204.850 cents per pound | -1.325 cents |
| May Feeder Cattle | 285.175 cents per pound | -1.350 cents |
| April Lean Hogs | 86.700 cents per pound | -0.325 cents |
| June Lean Hogs | 95.775 cents per pound | -0.400 cents |
| Choice boxed beef cutout | $333.39 per cwt | -$2.33 |
| Select boxed beef cutout | $320.36 per cwt | +$0.92 |