Lean Hog Futures Experience Decline Amid Stagnant Prices

Market reports indicate a drop in hog futures and average prices.

Lean hog futures are down this Friday, with losses ranging from 80 cents to $2. The national average base hog negotiated price was reported at $78.08 on Friday morning, which is a decrease of $2.36 compared to the previous day. Meanwhile, the CME Lean Hog Index stood at $81.19 on January 15, showing a modest rise of 9 cents from the day before.

The USDA reported an increase in the FOB plant pork cutout value, which rose by $1.60 to reach $91.69 per cwt in the Friday morning update. While the ham and butt saw lower prices, the remainder of the primals experienced increases. In slaughtering news, federally inspected hog slaughter for Thursday totaled 488,000 head, bringing the weekly total to 1.935 million head, an increase of 34,000 head compared to the previous week and significantly higher than the same week last year.

Feb 25 Hogs: $81.500, down $0.800

Apr 25 Hogs: $88.550, down $2.000

May 25 Hogs: $93.600, down $1.700

On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are solely for informational purposes. For more details, please view the Barchart Disclosure Policy here.

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