Consumers no longer have to pay record high prices for pork, as futures dropped by as much as the Chicago's Mercantile Exchange's daily 3-cent limit for a second consecutive session. Government data shows the cost of the meat fell to $4.024 last month, after prices had rallied as much as 56 percent in May, sending retail pork chops to a record $4.106 a pound, reports Bloomberg.
The American Association of Swine Veterinarians data said the disease spread earlier in the year responsible for killing as many as 8 million hogs has settled down as temperatures increase across the U.S.
Recent slaughter rates have signaled a decreasing hog supply. However, according to Prime Agricultural Consultants, the drop has been less significant that investors expected. Prices have fallen 19 percent in July, reports Bloomberg.
The U.S. Department of Agriculture reports the average price of market-ready hogs, dropped $1.11 per hundredweight from Wednesday to $123.68 this morning in the eastern Midwest.
According to Reuters, traders believe that bargain hunting and futures' discounts to CME's hog index, at 132.04, assisted in cushioning market losses and might support hog trading months on Friday.
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