
The August contract was the exception for a Thursday pullback, as it closed with a triple digit gain of $1.42 and extended the premium over October to +$20. October is also a near $10 premium to Dec hogs, as the back months closed 25 to 62 cents weaker. USDA’s National Average Base Hog price was $2.98 weaker to $124.71 on Thursday afternoon. The CME Lean Hog Index was up another 48 cents on 7/19 to $116.37.
USDA’s weekly Export Sales report showed 20,600 MT of pork was sold during the week that ended 7/14. That was 13% higher wk/wk but down from the 4-wk average. Pork shipments were 26,700 MT, mainly to Mexico. Accumulated shipments to all destinations reached 820,948 MT.
Pork cutout futures ended mixed as well with August $1.92 in the black and the back months 7 to 37 cents lower. USDA’s National Pork Carcass Cutout Value for Thursday afternoon was 47 cents weaker at $123.90. Federally inspected hog slaughter is estimated as 1.796m head for the week through Thursday. That is 1,000 head below last week’s pace, but trails 1.866m head during the same week last year.
Aug 22 Hogs closed at $116.300, up $1.425,
Oct 22 Hogs closed at $95.775, down $0.250
Aug 22 Pork Cutout closed at $122.125, up $1.925,