LIVESTOCK-Cattle futures slide on prospects of additional beef supplies

CHICAGO, Nov 6 (Reuters) - Live cattle and feeder cattle futures on the Chicago Mercantile Exchange declined for a third consecutive session on Thursday, as expectations of increasing beef supplies continued to trigger selling in what had been a strongly bullish cattle market.

The decline was largely a technical move driven by the liquidation of long positions, particularly in feeder cattle futures, according to Doug Houghton, an analyst with Brock Associates.

He, however, noted that concerns about a potential resumption of feeder cattle imports from Mexico also added fundamental pressure to the market.

After a long bull market underpinned by low cattle supplies, said Houghton, "The whole market mood seems to have changed."

CME December live cattle futures LCZ25 settled down 1.750 cents at 218.775 cents per pound. January feeder cattle FCF26 ended down 4.375 cents at 315.600 cents per pound.

Daily limits were expanded to 10.75 cents for live cattle futures and 13.75 cents for feeders for trading session on Thursday, the CME said, after falling to their daily limits in the previous session.

Live and feeder cattle futures reached all-time highs in mid-October, boosted by soaring beef prices as the U.S. cattle herd fell to its smallest size in decades after a lengthy drought.

An outbreak of the screwworm parasite in Mexico caused U.S. officials to mostly stop imports of Mexican feeder cattle in May, further tightening supplies.

But traders are now looking at the prospect of reopening the U.S. border to Mexican cattle. U.S. Agriculture Secretary Brooke Rollins said this week that President Trump was "very focused" on reopening the border, although she was not yet ready to resume imports as Mexico is still working to contain the outbreak.

Houghton said weakness in cattle futures had also hit the hog market, along with broader economic uncertainty and seasonal cash weakness.

CME December lean hog futures LHZ25 settled down 1.625 cents at 78.975 cents per pound.