Lean hog futures settled higher Wednesday on expectations of tighter cash supplies and rising prices for next week.
Cattle ended higher as well as bargain buying halted a 5.4% price slide over the last 1 1/2 weeks.
April, the front-month hog contract at the Chicago Mercantile Exchange, settled up 0.50 cents a pound, or 0.54% at 93.95 cents. Most-actively traded June was up 2.10 cents, or 2.79%, at $1.0300 a pound.
Lean hog futures prices rose early in the day as a weak U.S. dollar prompted ideas of further export sales of grain and pork. Corn rose and led livestock futures higher as well.
A report on beef and pork exports Tuesday was considered somewhat disappointing. This could have taken hog futures lower on the day if it hadn't been for the higher corn prices and expectations of tighter hog supplies in coming weeks, said Rich Nelson, director of research for Allendale Inc.
The weaker U.S. dollar early in the day aided expectations for exports to rise, but subsequent firming trimmed the gains until last-minute bargain buying appeared near the close of pit trading.
Wholesale pork prices were higher Tuesday on a pickup in sales of many popular domestic cuts that could be sliced into grillable products. This suggested that retail grocers were planning some grill-oriented advertising campaigns in the near future.
That could promote sales since the grilling season in the U.S. increases meat demand in general, analysts said.