Lean Hog Futures Decline as USDA Reports on Market Trends

Lean hog futures are trading lower, with contracts down 72 to 85 cents. As the May expiration occurs today, market participants are closely watching these developments. On Wednesday morning, the USDA reported the national average base hog negotiated price at $92.97. Meanwhile, the CME Lean Hog Index increased by 39 cents on May 12, reaching $90.31.

Current Market Data

The USDA’s FOB plant pork cutout value rose by $1.12 in Wednesday’s report, hitting $98.14. Notably, ham was the only primal reporting a decrease, down $2.40. The USDA estimated federally inspected hog slaughter for Tuesday at 481,000 head, with a weekly total reaching 947,000 head. This figure represents a decline of 20,000 head from the previous week and is 178 head lower than the same week last year.

Futures Pricing

May 25 Hogs: $91.000, up $0.025

Jun 25 Hogs: $98.650, down $0.850

Jul 25 Hogs: $102.475, down $0.725

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

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