Mixed Close for Lean Hogs
The front month lean hog futures were mixed within 50 cents of UNCH. The May contract close with a 17c loss and the April contract 2c higher on the day. April is now at a $1.67 loss for the week’s move. The National Average Base Hog price for Thursday afternoon was 14 cents weaker at $47.96. The CME Lean Hog Index for 21/18 was $66.37, another 22 cents weaker.
Trader estimates for the Hogs and Pigs report due on Friday range from a 1.2% drop to a 0.4% increase in the hog herd Dec 1 to Dec 1. The average trade guess is to see a 0.5% lighter inventory of 74.475m head. Analysts estimate the Sep-Nov pig crop to be down 1.7% from last year.
Weekly Export Sales data showed 37,543 MT of pork was sold during the week that ended 12/14. That was a 33% increase for the week, but was under the 58.7k MT sold during the same week last year. Mexico, again, was the top buyer for the week with 15.9k MT. The week’s export shipment was 40,458 MT for a yearly total of 1.525 MMT.
The National Pork Carcass Cutout Value was $81.35 after a penny weaker quote. USDA’s FI hog slaughter was 22k head higher for the week yet 260k head more than the same week last year with 1.936 million head harvested.
Feb 24 Hogs closed at $70.650, up $0.425,
Apr 24 Hogs closed at $76.950, up $0.025
Feb 24 Pork Cutout closed at $81.725, up $0.000,
On the date of publication, Alan Brugler did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.