Pork Bellies Down Again

Frozen pork bellies continued to fall on the Chicago Mercantile Exchange Thursday, dropping another 2 cents a pound after a similar loss the previous day.

Weakness had been associated in previous sessions with technical factors related to futures contracts. However, on Thursday, wholesale cash prices fell 2 cents a pound, which put further pressure on the market, and the selling continued.

Live hogs fell in sympathy with the pork belly market. In addition, wholesale prices on cash markets were lower, and some analysts expected further deterioration in cash prices Friday.

Cattle prices were steady. Traders were said to be evening up contract positions in anticipation of an upcoming Agriculture Department report on the size of the nation’s cattle herds.

Grain and soybean futures prices were mixed in very light trading Thursday on the Chicago Board of Trade. Corn prices were steady despite the USDA’s announcements that the Soviet Union has purchased 400,000 tons of U.S. corn.

Precious metals prices were slightly lower in quiet trading on the Commodity Exchange in New York. Most of the decline came late in the session in response to the strength of the U.S. dollar.

Oil futures were mixed on the New York Mercantile Exchange.