Major Rally for Thursday Hogs
The Feb contract’s limit gain through midday has it back over the $70 mark on a 5.6% gain. The other nearby contracts are also up by triple digits. May futures are holding onto a $13 premium to the Feb. USDA’s National Average Base Hog price was 56 cents weaker to $49.23 in the AM report. The CME Lean Hog Index was 83 cents lower on 12/08 to $67.93.
USDA’s FAS reported 28,167 MT of pork was sold for export during the week that ended 12/07. That was a 4-wk high and was nearly double the volume from the same week last year. The report had Mexico as the top buyer with nearly half of the total. The week’s shipments were 36,077 MT, a 29-wk high, which left the yearly total at 1.485 MMT. That compares to 1.409 MMT last year.
USDA’s National Pork Carcass Cutout Value was 29 cents stronger to $84.22. USDA estimated FI hog slaughter for the week at 1.425 million head, down from 1.458m last week and compared to 1.456m head during the same week last year.
Feb 24 Hogs are at $70.475, up $3.750,
April 24 Hogs are at $77.050, up $2.675
Feb 24 Pork Cutout is at $81.725, down $0.725,
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.
