Front month lean hog futures began the new week of trade with losses of $0.65 to $1.90. The August contract was down the most, but is still a $13.85 premium to October. USDA’s National Average Base Hog price for Monday was down by $5.10 to $115.13. The 6/23 CME Lean Hog Index was 22 cents higher to $110.91.
Going into the quarterly Hogs and Pigs report, analysts expect NASS to report a 72.641m head inventory for June 1st. The full range of estimates is to see between a 1.6% and 0.2% lighter inventory compared with June ’21. Breeding hogs are expected to be 1.1% lighter with a 0.7% lower market hog inventory. June-August Farrowing intentions are expected to decline between 0.3% and 1.1% yr/yr with the average estimate at a 0.6% drop. NASS will release the data on Wednesday after the close.
Pork cutout futures closed triple digits in the red, save for the 50 cent drop in July. USDA’s National Pork Carcass Cutout Value for Monday was $109.03, down by $3.17. The belly primal was down the most with a $14.62 drop to $150.67. CME’s Fresh Bacon Index was $207.93 through the week ending 6/24. That was up $2.90 cwt. wk/wk. USDA estimates the FI hog slaughter for Monday at 466k head. That is up 17k from last week and 11k head from the same Monday last year.
Jul 22 Hogs closed at $110.175, down $0.750,
Aug 22 Hogs closed at $104.875, down $1.900
Jul 22 Pork Cutout closed at $111.350, down $0.500,