Lean Hogs Futures Market News and Commentary
Back month lean hog futures rallied back triple digits on Friday, though the gains of as much as $1.77 were not enough to offset Thursday’s drops. Nearby July and August added to the downside on Friday, with additional $2.35 and $0.52 losses respectively. USDA’s National Average Afternoon Base Hog price for Friday was $0.34 higher at $122.62. ECB hog prices were withheld to protect confidentiality, but WCB prices were still averaging +$130. The CME Lean Hog Index for 6/16 pulled back by another 92 cents to $121.68.
Chinese data showed May pork imports were a 3 month low. Pork prices in China have been working lower as the country fends off domestic inflation and rebuilds the domestic herd. Dalian Live Hog Prices have also continued lower since their open on January 8th. Prices were 1.37% weaker at 18,775 yuan/MT (~ $1.32/lb) on Thursday.
Pork cutout futures went into the weekend with losses of $0.47 to $1.80. USDA’s National Pork Carcass Cutout Value was back down... Read more