Hogs Pulling Off Early Lows
Lean hogs are getting some help from a stronger cutout, with contracts off the midday lows and down 17 to 70 cents at midday. USDA’s National Average Base Hog negotiated price was not reported on Tuesday morning due to light volume, with the 5-day rolling average at $86.97. The CME Lean Hog Index was down another 14 cents on May 23 at $91.63.
The monthly Cold Storage report showed some building of pork stocks in during April, up 1.19% on the month at 501.279 million lbs. That was down 11.66% from a year ago, compared to the 13.26% yr/yr drop at the end of March.
USDA’s National Pork Carcass Cutout Value was back up $4.23 in the Tuesday AM print at $103.37. The belly was the leader to the upside, up $10.15, with the butt the only primal reported lower, down $1.44. USDA estimated federally inspected hog slaughter at at 2.373 million head last week through Saturday. That was down 31,000 head from the week prior but 17,942 head above the same week last year.
Jun 24 Hogs are at $94.100, down $0.175,
Jul 24 Hogs are at $96.800, down $0.425
Aug 24 Hogs is at $96.200, down $0.700,
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.
