Lean Hogs Decline: Market Update on Prices and Slaughter Rates
On Thursday, Lean Hog futures experienced losses ranging from 60 cents to $2.25, while some deferred contracts showed mixed results. The national average base hog negotiated price fell to $86.14 by the afternoon, a decrease of $2.80 from the previous day. Meanwhile, the CME Lean Hog Index rose slightly to $89.94 on November 12, up by 6 cents compared to the day before.
In its Thursday afternoon report, USDA noted a drop in the FOB plant pork cutout value, which declined by $3.19 to reach $94.07 per cwt. Only the picnic and loin cuts showed price increases, while a significant drop of $20.78 in belly prices contributed substantially to the overall decline. The USDA estimated the Friday hog slaughter at 488,000 head, bringing the week’s total to 1.924 million head. This figure reflects a decrease of 28,000 head from last week but is up by 2,343 head from the same period last year.
December 24 Hogs closed at $80.100, down $1.775. February 25 Hogs finished at $83.775, down $2.250. April 25 Hogs ended at $88.125, down $2.025.
On the date of publication, Austin Schroeder did not hold (either directly or indirectly) any positions in the securities mentioned in this article. All information and data in this article are intended solely for informational purposes. For further details, please view the Barchart Disclosure Policy here.
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