Most U.S. livestock futures fell Thursday as the prospect of larger supplies started to chip away at the elevated cash prices that have triggered contract highs in recent sessions.
The most heavily traded lean-hog contract fell 1.2%, and its live-cattle equivalent shed 1.8%.
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The potential supply squeeze that triggered higher cash cattle prices last week still left a disconnect between cattle buyers, with beef prices continuing to climb.
This came even as cattle slaughter rates remain elevated, with the U.S. Department of Agriculture pegging the week-to-date kill at 467,000, ahead of last week and the same period last year. Hog slaughter has moderated from last week but remains above last year's level
The December live-cattle contract settled down at $1.2432 a pound, and further-out contracts also declined.
The December lean-hogs contract slipped to settle at 65.8 cents a pound, with February also declining and further-out months mostly yielding gains.
"Live-hog traders continue to scratch their heads as production runs above last year and prices move higher," said analysts at Allendale.
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(END) Dow Jones Newswires
November 02, 2017 15:28 ET (19:28 GMT)