Market Movement
Closing a seesaw day of trading, front month lean hog futures displayed volatility by reaching a high of 40c and a low of 65c (June saw a dip of $1) within a relatively tight range. As the final bell rang, futures were closer to their lowest point, marking losses ranging from 50 to 92 cents. Notably, June futures painted a bleak picture, concluding the week with a $2.20 drop. Meanwhile, the USDA’s National Average Base Hog price for Wednesday showed a modest increase of $0.46, settling at $81.24. In contrast, the CME Lean Hog Index stood at $82.82 on 3/18, exhibiting a gain of 28 cents.
Industry Analysis
The USDA’s National Pork Carcass Cutout Value reported a decline of $1.19 in its PM update on Wednesday, closing at $92.18. Looking at the broader scale, the week’s FI hog slaughter estimate stood at 1.462 million head by Wednesday, surpassing the 1.425 million head from the previous week and edging past the 1.431 million head recorded during the corresponding week last year.
Closing Figures
Apr 24 Hogs closed at $85.300, down $0.525, while May 24 Hogs concluded at $90.975, marking a decline of $0.975. Similarly, Apr 24 Pork Cutout came to a close at $92.525, showing a decrease of $1.125.
On the publication date, Alan Brugler did not hold any positions, either directly or indirectly, in the securities referenced in this article. The information provided is purely for informational purposes. For further details, please refer to the Barchart Disclosure Policy.
The opinions expressed in this article are solely those of the author and do not necessarily represent the views of Nasdaq, Inc.
