Lean Hog Futures Decline Amid Lower Prices and Mixed Reports

Lean hog futures fell by 65 to 75 cents in the front months on Wednesday, coinciding with May’s expiration. The USDA reported the national average base hog negotiated price at $93.61, which marked a decline of 66 cents from the previous day. In contrast, the CME Lean Hog Index rose by 39 cents on May 12, reaching $90.31.

Additionally, the USDA’s FOB plant pork cutout value increased by 12 cents in the Wednesday PM report, totaling $97.14. The only primals that saw a decrease were ham and belly. As for slaughter numbers, USDA estimated federally inspected hog slaughter at 486,000 head for Wednesday, bringing the weekly total to 1.433 million head. This figure represents a decline of 5,000 head compared to the previous week but an increase of 7,982 head compared to the same week last year.

May 25 Hogs closed at $91.00, up $0.025.

Jun 25 Hogs closed at $98.85, down $0.650.

Jul 25 Hogs closed at $102.45, down $0.750.

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.

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