Cattle futures fall as crude rally sparks demand concerns - CME
Hog futures decline amid broader livestock market selloff
12 March 2026
1 minute read
By: Chicago Mercantile Exchange (CME) live cattle futures fell on Wednesday, as rising crude oil prices reignited broader economic worries and fuelled concerns about consumer spending on beef, Reuters reported, citing market analysts.
Feeder cattle dropped sharply, with the most-active April contract touching the lowest price seen since December 30 during the session, on pressure from a rally in the feed grains market. Hog futures also followed the cattle market lower, as technical selling accelerated declines across the livestock markets, traders said.
Weakness in the cash cattle market also weighed on futures, with prices for live cattle in some markets dropping $4 to $5 per hundredweight (cwt) and down $8 per cwt for dressed carcass weights this week, said Don Roose, the president of Iowa-based brokerage US Commodities.
"Right now, the cattle market is being squeezed between tight supplies and slower demand," Roose said. "Feeder cattle prices really were squeezed by that corn rally."
Still, wholesale beef prices firmed, with boxed beef prices hitting the highest since September 15. On Wednesday morning, choice boxed beef values increased $1.27 to $395.94 per cwt, according to the US Department of Agriculture. Select cuts were up $1.85 at $388.62 per cwt.
Lower-than-normal cattle slaughter rates and a possible strike next week at a JBS packing plant in Colorado suggested beef prices could remain strong, analysts said.
The average beef packer margin was estimated at a negative $140.75 per head on Wednesday, compared to a loss of $9.45 per head a week ago, according to HedgersEdge.
CME April live cattle settled down 2.225 cents — giving up Tuesday's gain — to close at 230.150 cents per pound, down to levels seen during Monday's sharply lower trade. April feeders settled down 6.375 cents at 343.300 cents per pound.
Lean hog futures closed lower, with April futures closing down 0.875 cent at 95.200 cents per pound.
