Lean Hog Futures Decline Despite Rising Cash Prices

On Thursday, lean hog futures decreased by 12 to 32 cents for front months, while some deferred contracts gained in value. The USDA reported the national average base hog negotiated price at $98.95, an increase of 66 cents from Wednesday. Additionally, the CME Lean Hog Index rose 47 cents on May 27, reaching $93.52.

A federal appeals court has temporarily stayed a ruling that deemed President Trump’s liberation day tariffs illegal.

According to USDA’s Thursday PM report, the FOB plant pork cutout value increased by $2.22 to $104.62, with the rib primal being the only segment to report a decline. The USDA estimated Thursday’s federally inspected hog slaughter at 480,000 head, bringing the weekly total to 1.439 million head, which is 2,311 head lower than the same holiday week last year.

Jun 25 Hogs closed at $100.025, down $0.250.

Jul 25 Hogs closed at $102.975, down $0.325.

Aug 25 Hogs closed at $103.400, down $0.125.

On the date of publication, Austin Schroeder did not hold positions in any of the mentioned securities. All information is for informational purposes only. For more details, view the Barchart Disclosure Policy.

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