LIVESTOCK-NAFTA worries drag CME hogs from one-year high

 

   By Theopolis Waters / Reuters

January 10, 2018 / 5:02 PM

 

    CHICAGO, Jan 10 (Reuters) - Chicago Mercantile Exchange lean

hogs        on Wednesday slid from a one-year top earlier in the

session, rattled by fund selling and Canadian government

concerns over NAFTA talks with the United States, said traders.

 

     Canada is increasingly convinced that President Donald

Trump will soon announce the United States intends to pull out

of the North American Free Trade Agreement, two government

sources said on Wednesday.            

 

     Mexico and Canada are among the top destinations for U.S.

pork exports.

 

     "If it (NAFTA) does go away, the hog markets are going bear

the brunt of the selling," said independent CME livestock

futures trader Dan Norcini.

 

    Short-covering and the six-session run up in prices for

slaughter-ready, or cash, hogs freed CME hogs from session lows.

       

    Packers competed for supplies for the first full week of

production after the winter holidays, said traders and analysts.

 

    Increased week-over-week hog weights suggest holiday plant

disruptions and frigid weather backed up pigs on farms, a

Midwest hog dealer said.         

 

    Market participants are tracking more wintry weather

entering the Midwest that could hurt hog production in the

region.

 

    February         hogs settled down 0.650 cents per pound at

72.525 cents. April         ended 1.000 cent lower at 75.775

cents.

   

    LIVE CATTLE FUTURES RETREAT ...

 

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https://uk.reuters.com/article/usa-livestock/livestock-nafta-worries-drag-cme-hogs-from-one-year-high-idUKL1N1P527Y