Lean Hogs Futures Market News and Commentary
Lean hog futures ended the last trade day of the week with 35 to 52 cent gains. October was the outlier with a 22 cent pullback by the close. For the week, October hogs were down by a net 3.67% and December by a net 7.9%. The National Average Afternoon Base Hog price was $85.08 in the PM report after a $3.27 drop. The CME Lean Hog Index for 9/28 was 46 cents weaker to $95.14.
Weekly CFTC data had managed money lean hog traders 23,535 contracts less net long through the week that ended 9/27. That came via 8.5k longs closed and 15k new spec shorts added during the week, and left the group just 41,129 contracts net long – a 12wk low.
NASS counted a 73.8m head hog inventory on Sep 1. Market hogs were shown as 67.648m head. The breeding herd was 6.152m head. The June August pig crop was 33.581m head – on 11.13 pigs per litter. All were smaller than the average trade guesses going into the H&P report.
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