CHICAGO, Nov 26 (Reuters) - Chicago Mercantile Exchange live
cattle futures set new highs on Friday and finished stronger on
technical buying and firm cash prices, traders said.
The front-month December contract and most-active
February 2022 contract avoided losses seen in commodities
like crude oil and soybeans that were unnerved by the discovery
of a new variant of the coronavirus in South Africa.
Demand from meat processors has lifted cash prices for fed
cattle by up to $4 per cwt in parts of the Midwest compared with
last week, traders said.
"Packer run rates have been good," said Matt Wiegand, a
commodity broker for FuturesOne. "They paid up for cattle."
CME February live cattle closed 0.325 cent higher at
141.200 cents per pound and reached a contract high of 141.450.
December live cattle finished 0.200 cent higher at
138.100 cents and set a high of 138.350.
CME January feeder cattle rose 0.225 cent to 167.150
cents per pound and reached its highest price since Sept. 2.
Feeders look overbought after recent gains, Wiegand said.
"I wouldn't be surprised if we see a short-term correction
here into the beginning of December," he said.
In the pork market, CME February lean hogs settled
3.225 cents lower at 81.025 cents per pound. The contract
dropped to its lowest price since Nov. 15 at 80.425 cents, after
reaching its highest since Oct. 8 at 84.675 cents.
The U.S. Department of Agriculture, in a weekly report,
reported 2021 U.S. pork export sales were 17,500 tonnes in the
week ended Nov. 18. That was down 30% from the previous week and
43% from the prior four-week average. Net sales were 15,600
tonnes for 2022.
U.S. beef export sales of 19,300 tonnes for 2021 were down
24% from the previous week and 6% from the prior four-week
average, the USDA said. Sales for 2022 were 5,800 tonnes.
(Reporting by Tom Polansek in Chicago; Editing by Krishna