Summer month contracts rallied triple digits on Tuesday extending the inverse. The back months bounced back from early session losses, but were still just 10 to 20 cents higher at the bell. The July to August spread was $2.95 at the close, but July was a $25.62 premium to December. USDA’s National Average Base Hog price for Tuesday afternoon was $4.11 higher to $118.99. The CME Lean Hog Index for June 17 was $109.16 after another 62 cent increase.
Pork cutout futures closed the day mixed, with July down by 2 cents and Dec up by 2 cents to the other front months triple digit gains. USDA’s National Pork Carcass Cutout Value from Tuesday was $110.86 after a $1.01 dip. The CME Fresh Bacon Index was $205.03 through the week that ended 6/17, down by 60 cents. USDA estimates FI hog slaughter at 917k head for the week through Tuesday. That compares to 929k head last week and 941k head during the same week last year.
Jul 22 Hogs closed at $112.725, up $1.725,
Aug 22 Hogs closed at $109.800, up $1.925
Jul 22 Pork Cutout closed at $115.125, down $0.050,