Lean Hog Futures Show Mixed Results with Export Sales Increasing

Mixed Performance in Lean Hog Futures

Lean hog futures ended the day with gains ranging from 27 to 70 cents for most contracts. Though February’s futures saw a slight decrease of 5 cents, it still increased by 50 cents compared to last Friday. The national average base hog negotiated price reported on Friday afternoon fell to $77.27, down by $1.81 from the day before. Additionally, the CME Lean Hog Index reached $85.10 on December 23, rising by 35 cents from the previous day.

Exports Show Promising Growth

In the week of December 19, Weekly Export Sales data indicated the sale of 7,078 metric tons (MT) of pork for delivery in 2024 and 39,411 MT for 2025, totaling 46,489 MT. This total represents a three-week high in exports. Pork shipments increased by 2.8% compared to last week, reaching 32,438 MT, with Mexico being the primary destination at 13,100 MT and China receiving 3,500 MT.

USDA Updates on Pork Cutout Values

The USDA’s FOB plant pork cutout value decreased by 62 cents in the Friday PM report, landing at $95.02 per cwt. There were declines noted in the loin, picnic, and butt primals, while the belly experienced a rise of $3.16. This week, the estimated federally inspected hog slaughter totaled 2.051 million head, a decrease of 171,639 head compared to the same week last year.

Closing Prices for Lean Hogs

Feb 25 Hogs closed at $84.150, down $0.050.

Apr 25 Hogs closed at $89.525, up $0.275.

May 25 Hogs closed at $93.625, up $0.325.

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 is solely for informational purposes. For more information please view the Barchart Disclosure Policy
here.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.