The deadly pig virus that once pushed U.S. pork prices higher has recently shown that it is dying down, causing hog futures to drop by the exchange limit to the lowest since February. Futures that rallied to their highest in March by as much as 56 percent this year have since fallen 25 percent, reports Bloomberg. This is good news for pork eaters who have been paying record high prices for the meat this year.
Government data said the 2014 winter rally was caused by the spread of the porcine epidemic diarrhea virus that may have killed as many as 8 million hogs. However, the warm weather has been slowly diminishing the deadly disease.
On the Chicago Mercantile Exchange hog futures for October delivery declined 1.9 percent to close at $1.0025 a pound, after declining earlier by the 3-cent limit to 99.2 cents, the lowest since February 25. Prices touched a record $1.33425 in March.
According to Reuters, after Russia recently banned agriculture and meat products from the U.S. and six other countries, the meat industry and trade sources reported that it would have virtually no impact on the U.S. pork and beef market.
Traders believe that demand will also probably begin to decline as the U.S. summer-grilling season comes to a close.
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