CME Cattle Futures Rebound 3.35 Cents as Lower Oil Eases U.S. Beef Demand Fears

1 articles · Updated · The Pig Site · May 28

August live cattle settled up 3.35 cents at 242.500 cents a pound and August feeder cattle gained 5.175 cents to 354.625, rebounding after last week's slide to the lowest levels since March.
Oil prices fell about 4% after reports of a possible Iran-US framework to reopen the Strait of Hormuz, easing worries that high fuel and food costs would curb consumer spending on beef.
USDA data reinforced demand: choice boxed beef rose $2.63 to $392.90 per cwt and select cuts climbed $5.30 to $390.30.
Supply remains tight even with strong beef prices, with the US cattle herd at its smallest in 75 years and packers losing about $299 per head on Wednesday.
Lean hogs also firmed, with July futures up 2 cents to 102.125 cents a pound as the pork cutout increased $2.59 to $98.85 per cwt.

Amid record prices and losses, will the federal antitrust probe finally reshape the powerful US beef market?

With packers losing nearly $300 per animal, is the current cattle futures rally built on a house of cards?

Can lower gas prices from a US-Iran deal truly overcome record-low consumer confidence to support beef demand?