August and October hogs traded moderately lower early in the session, led by weakness in other commodity markets and selling in equity markets from uncertainty around the debt ceiling negotiations. With pork prices at a record high for the 4th day in a row on Friday and progress made in Washington on the debt crises, many traders feel that the market may find solid buying support early this week. Cash markets are expected to trade steady to $0.50 higher today after trading $0.50-$1.00 higher on Friday. Increasing fears that weights will remain down due to recent heat, plus ideas of increasing Chinese demand for US pork were also seen as supportive factors. A solid recovery in cattle during the session Friday along with ideas that the surge in pork values could support cash markets this week were thought to be key reasons for the late strength in hogs. Record high pork cut-out values led by a surge in pork bellies plus higher cash markets helped also provided underlying support. The CME Lean Hog Index as of July 27th came in at 100.29, up 96 cents from the previous session and up from 95.79 the week before.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
