Hogs Gapped Lower after 3-Day Wait to Trade NASS Data
Lean hog futures are down by $0.87 to $1.92 so far across the front months after gapping lower at the open. Feb dropped 45 cents at the open, and is sitting near the low for the day. The National Average Base Hog price was withheld for confidentiality on Tuesday morning. The Friday PM quote was $47.76. The CME Lean Hog Index was $66.69 for 12/20, a 6 cent weaker quote.
The quarterly Hogs and Pigs data from NASS showed 74.971 million head for the herd as of Dec 1. That was even with last year and less than trade estimates for a 0.5% increase. Farrowing intentions were shown at Trader estimates for the Hogs and Pigs report due this afternoon range from a 1.2% drop to a 0.4% increase in the hog herd from 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.
USDA on Friday indicated 416.09 million lbs of pork in Cold Storage on November 30. That was down 4.98% from the end of October and 7.86% lower vs. last year, but now back above 2021.
The AM National Pork Carcass Cutout Value for Tuesday was $83.90, up by $1.69. USDA reported the week’s pork production at 524.4 million pounds. That is a 9.2% lighter volume from last week, though is 37% more than the same week last year. Slaughter was shown at 2.426 million head compared to 2.682m last week and the same time last year.
Feb 24 Hogs are at $69.250, down $2.100,
April 24 Hogs are at $76.100, down $1.475
Feb 24 Pork Cutout is at $81.725, unch,,
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.
