June hogs closed sharply lower on the session yesterday, as late selling drove the market down the 300 point limit with a large amount of sell stops activated by the move under the March lows. While hog futures closed limit down yesterday, there was not much in the way of follow through to the downside during overnight trading. Cash hogs traded steady to $1.00 lower yesterday and are called steady for today. Pork production prices continue to fall, however, led by another $4.87 plunge in pork belly prices down from $139.83 last week at this time. Belly prices are descending from historic highs, even though the supply outlook into the summer looks tight relative to the demand. Bacon demand has been strong over the past year, as more and more consumption has been occurring at the restaurant and fast-food level. Pork cutout values released after the close yesterday came in at $91.31, down $1.12 from Monday and down from $94.82 the previous week. This is the lowest pork value since March 15th. Further weakness in pork values suggests for some traders that packer margins are poor, and that there is potential for further weakness in the cash markets on the horizon. South Korea will expand tariff-free imports of pork by 20,000 tonnes, to a total of 130,000 tonnes through the end of June. The CME Lean Hog Index as of April 29 came in at 94.17, down 3 cents from the previous session but up from the week before. The estimated hog slaughter came in at 409,000 head yesterday. This brings the total for the week so far to 804,000 head, up from 679,000 head last week at this time and up from 790,000 head a year ago.