Conjecture about reduced U.S. demand pulled down hog futures to their lowest price in about four weeks on Tuesday, according to Bloomberg.
The threat of inclement weather in New York City and regions northeast of the metropolis is fueling the conjecture as it could endure as many as three additional inches of snow. From Friday to Saturday a blizzard pelted parts of the region with as many as 40 inches of snow and left many consumers without power. Boston endured almost 25 inches, representing the fifth-largest amount dumped on that city.
“The Northeast retail business basically came to a standstill,” market advisor Lawrence Kane with the Stewart-Peterson Group in Yates City, Illinois, told Bloomberg on Tuesday. “It’s a real tough situation for demand as far as meat is concerned.”
At 3:56 p.m. on Tuesday, lean hog futures dropped 0.52 percent, a 0.0045 cent loss to 85.93 cents per pound.
Pork production is forecast to increase this year as compared to the year prior by 0.7 percent, according to The Pig Site, which cited economic data provided by the U.S. Department of Agriculture.
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