Sept 23 (Reuters) - Cash hogs traded $1 lower per cwt across the U.S. Midwest early on Monday as packers cut back slaughter numbers, dealers said.

* Packers were seen reducing slaughter numbers and backing bids off for near-term supplies in an effort to protect cash margins, dealers said.

* Hog slaughter last week totaled 2.18 million head, up 0.4 percent from the week before, but down 9.2 percent from the same week last year, market sources said.

* This was the fifth consecutive week with slaughter below the year-ago level and the ninth consecutive week with hog slaughter lower than expected based on the June Hogs and Pigs report.

* An Indiana plant shut down on Monday amid short hog supply and low packer margins, an Indiana dealer said.

* Packer margins were estimated at positive $5.50 per head on Monday, compared with negative $2.20 on Friday, and negative 95 cents a week ago, according to HedgersEdge.com. LIV/H

* There is typically some easing in key cuts such as hams and belles at this time of year. However, this season's lack of available hogs supply pushed marketing prices higher, with hams up $3.81 at $88.38 and belles up $1.80 at $155.66, market sources said.

* There was ongoing speculation of tightening supply this season due to herd culling after Porcine Epidemic Diarrhea virus (PEDv) outbreaks on some U.S. farms.

* The outbreak was spreading. Researchers have discovered evidence that the virus, which poses no threat to humans, can be carried on the wind, potentially bringing a dangerous new dimension to the swine epidemic. ID:nL2N0HF1V6

( http://www.porknetwork.com/pork-news/Oklahoma-winds-may-spread-deadly-swine-virus-224569051.html#sthash.mly3btkm.dpuf )

* USDA reported late Friday that the cutout was up 96 cents at $100.26 per cwt. US/POR

* Iowa/Southern Minnesota hogs traded 50 cents lower at about $70 to $70.50 per cwt delivered to packing plants.

* Illinois hogs were steady to $1 lower at about $71 per cwt delivered to packing plants.

* Indiana hogs were $1 lower at about $68.50 per cwt delivered to plants and $67.50 per cwt at country points.

* Northwest Ohio hogs were $1 lower at $71.50 per cwt delivered to plants and $66.50 at country points.

* Southeast Ohio hogs were steady at $69 to $70 per cwt delivered to plants and $67 to $68 at country points.

(Reporting by Alyce Hinton; Editing by Jeffrey Benkoe)

((alyce.hinton@thomsonreuters.com)(312-408-8751)(alyce.hinton.t homsonreuters.com@reuters.net)) 

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Keywords: MARKETS HOGS/CASH