Lean Hog Futures Rise Amid Fluctuating Pork Prices

Lean hog futures are currently trading with contracts showing an increase of 90 cents to $1.125. According to the USDA, the national average base hog negotiated price rose by $1.52 from the previous day, now at $91.7 in the Friday morning report. The CME Lean Hog Index recorded a further increase of 52 cents, reaching $87.27 on April 23.

Pork Stocks Decline Year-Over-Year

As of the end of March, pork stocks totaled 422.254 million lbs. This figure is over 40 million lbs below the same time last year and shows a slight decrease from February.

Pork Cutout Value and Slaughter Estimates

On Friday morning, the USDA reported that pork cutout value increased by $4.95, now at $100.81. The only recorded decrease was in the rib primal cut, whereas the belly primal surged up by $17.13. Additionally, the USDA estimated Thursday’s federally inspected hog slaughter at 475,000 head, bringing the week-to-date total to 1.788 million head. This number is down by 149,000 head from last week and is also 148,232 head lower compared to the same week last year.

Current Lean Hog Futures Prices

For the upcoming months, the prices are as follows:

• May 25 Hogs: $92.975, up $1.025
• June 25 Hogs: $101.05, up $1.125
• July 25 Hogs: $101.00, up $0.95

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.