Hog prices fell to a 10-month low as heavier animals and slackening U.S. demand signaled increased supplies of pork. Cattle futures dropped, extending the longest slump since August.
Hog carcasses averaged more than 209 pounds (94.8 kilograms) on Oct. 28, the heaviest since at least 2002, according U.S. Department of Agriculture data. The price of wholesale pork has dropped 24 percent from this year’s high on Aug. 24, slumping for six straight weeks.
“Supply-side fundamentals” are driving prices lower, said David Kruse, the president of CommStock Investments Inc. in Royal, Iowa. “Fantastic gains” in carcass weights occurred partly because of the better quality of livestock feed, compared with last year, he said.
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