Cattle futures rally as tight supplies lift beef prices - CME
Lean hog futures ease on profit taking, technical pressure
1 April 2026
1 minute read
By: Chicago Mercantile Exchange (CME) cattle futures extended their rally on Tuesday, as traders anticipated another week of strength in the cash markets as packers shore up supplies ahead of the Easter holiday weekend, Reuters reported, citing market analysts.
Tight supplies of cattle have sent cash prices soaring, forcing processors to pay more for animals to slaughter, pushing steak and hamburger costs to record levels for consumers.
But packer margins have been staying in the black recently, though margins have tightened a bit.
Meatpackers were earning an estimated $74.85 per head of cattle on Tuesday, compared to $89.45 per head a week ago, according to Denver-based livestock marketing advisory service HedgersEdge.
The pace of cattle slaughter has also remained somewhat steady: Packers slaughtered 108,000 head of cattle on Tuesday, up 107,000 a week ago, according to US Department of Agriculture (USDA) data.
"With Easter is coming up, you're soon into the prime grilling season," said Don Roose, president of Iowa-based US Commodities. "So right now, packers are trying to buy up what they can."
Strength in the wholesale choice beef market also gave cattle futures a boost.
The USDA reported on Tuesday morning that choice cuts of boxed beef rose $2.34 to $396.44 per hundredweight (cwt), and select cuts rose $3.78 to $394.79 per cwt.
CME June live cattle settled 3.075 cents higher at 243.275 cents per pound. CME May feeders finished 5.150 cents higher at 366.475 cents per pound.
Meanwhile, CME lean hog futures continued to ease on a flurry of short-term profit taking and technical trading, market analysts said. CME June lean hog futures ended 0.825 cent lower, settling at 105.050 cents per pound.
